product relation of pepsi &coke

7/30/2019 Product Relation of Pepsi &Coke

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CocaCola & Pepsi

Brand Element

The brand Coca-Cola evokes images of the red Coke logo, red and white themed advertising and

packaging, the curved bottle (if your local store still sells bottles), a general feeling of youth and

energy, and slogans such as 'The Real Thing'. Conversely, the brand Pepsi brings to mind the

predominantly blue Pepsi logo, blue and white themed advertising and packaging, an even

younger feel, and slogans such as 'The Pepsi Generation"

Brand Ambassdor

Coca-Cola-

Limca Brand Ambassador, Kareena Kapoor', Coca-Cola in Salman Khan to endorse 'Thums Up'

Pepsi-

Priyanka Chopra turns Pepsi Brand Ambassador, Vijender Singh roped in as Pepsis brand

ambassador

Logo


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Slogan

Coke-

Coca-Cola!" ("Cold means Coca-Cola!") (2000s) " " ("Drink with pride") ", -enjoy!" ("Whatever you wish will come true, enjoy Coca-

Cola!")

"Burrrrrrrrr" ("Refreshment" )(2011) "Open Happiness (2012

Pepsi-

19901991: "Yehi hai right choice Baby, Aha" (Urdu, Hindimeaning "This is the rightchoice Baby (Pakistan), (India)

19961997: "Pepsi: There's nothing official about it" (During the Wills World Cup (cricket)held in India/Pakistan/Sri Lanka)

19992006: "Yeh Dil Maange More!"(India) 2002: "Change the World" (Japan) 2000present: "Pepsi ye pyaas heh badi" ((Urdu), ((Hindi)) meaning "There is a lot of thirst"

(Pakistan)) ((India))

2009present: "Yeh hai youngistaan meri jaan" 2009present: "My Pepsi My Way"(Pakistan)(India) 2009present: "Refresca tu Mundo" (Spanishmeaning "Refresh your world") (Spanish

Speaking countries in Latin America)

2009: "Joy It Forward" (Canada) 2010present "Pepsi. Sarap Magbago." (Philippinesmeaning "Its nice to change") 20102011 "Badal Do Zamana" (Urdumeaning "Change The World" by CALL)(Pakistan) 20102011 "Love!" (Japan, for Pepsi Nex)
http://en.wikipedia.org/wiki/Urduhttp://en.wikipedia.org/wiki/Hindihttp://en.wikipedia.org/wiki/Yeh_Dil_Maange_More!http://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Japanhttp://en.wikipedia.org/wiki/Pakistanhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Spanish_languagehttp://en.wikipedia.org/wiki/Canadahttp://en.wikipedia.org/wiki/Urduhttp://en.wikipedia.org/wiki/Pakistanhttp://en.wikipedia.org/wiki/Pakistanhttp://en.wikipedia.org/wiki/Urduhttp://en.wikipedia.org/wiki/Canadahttp://en.wikipedia.org/wiki/Spanish_languagehttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Pakistanhttp://en.wikipedia.org/wiki/Japanhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Yeh_Dil_Maange_More!http://en.wikipedia.org/wiki/Hindihttp://en.wikipedia.org/wiki/Urdu


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2010present: "Pode ser bom, pode ser muito bom, pode ser Pepsi" (It can be good, it can bevery good, it can be Pepsi)Brazil and Portugal

2011present: "Change the game" (India, Bangladesh & Pakistan for the 2011 Cricket WorldCup)

2011present "Dunya Hai Dil Walon Ki" (Pakistan-meaning World is For Lovers by AliZafar)

2011present "Ici, c'est Pepsi" (Qubec-meaning Here, it's pepsi) 2011present "Go Next!" (Japan, for Pepsi Nex

Price

As being the tough comptetion in the soft drinks industry bbetween both the players the cost of

the cold drinks are same .

The different quantity bottle have different price. They are-

Rs. 10- 200ml, Rs.12-300ml, Rs.28 -600ml, Rs.45-1.2ltr, Rs.65-2.5ltr.

Product List

Coca-Cola

Diet Coke, Thums Up, Sprite, Fanta, Limca,

Maaza, Milky Delite, Minute Maid Pulpy Orange,

Minute Maid Nimbu Fresh, Burn, Kinley Water

Kinley Soda, Schweppes

GEORGIA Gold

PEPSI

7UP, Aliva, Aquafina, Cheetos, Duke's

Gatorade, Kurkure, Lay's, Lehar, Mirinda

Mountain Dew, Nimbooz, Pepsi

Quaker Oats, Slice, Tropicana

Uncle Chipps
http://en.wikipedia.org/wiki/Brazilhttp://en.wikipedia.org/wiki/Portugalhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/Pakistanhttp://en.wikipedia.org/wiki/2011_Cricket_World_Cuphttp://en.wikipedia.org/wiki/2011_Cricket_World_Cuphttp://en.wikipedia.org/wiki/Pakistanhttp://en.wikipedia.org/wiki/Qu%C3%A9bechttp://www.coca-colaindia.com/products/coca-cola.htmlhttp://www.coca-colaindia.com/products/diet_coke.htmlhttp://www.coca-colaindia.com/products/thumsup.htmlhttp://www.coca-colaindia.com/products/sprite.htmlhttp://www.coca-colaindia.com/products/fanta.htmlhttp://www.coca-colaindia.com/products/limca.htmlhttp://www.coca-colaindia.com/products/milky_maaza.htmlhttp://www.coca-colaindia.com/products/mmpo.htmlhttp://www.coca-colaindia.com/products/mm_nimbu_fresh.htmlhttp://www.coca-colaindia.com/products/burn.htmlhttp://www.coca-colaindia.com/products/kinley_water.htmlhttp://www.coca-colaindia.com/products/kinley_soda.htmlhttp://www.coca-colaindia.com/products/scwepps.htmlhttp://www.coca-colaindia.com/products/georgia.htmlhttp://pepsicoindia.co.in/brands/7up.htmlhttp://pepsicoindia.co.in/brands/7up.htmlhttp://pepsicoindia.co.in/brands/aliva.htmlhttp://pepsicoindia.co.in/brands/aquafina.htmlhttp://pepsicoindia.co.in/brands/Cheetos.htmlhttp://pepsicoindia.co.in/brands/duke.htmlhttp://pepsicoindia.co.in/brands/gatorade.htmlhttp://pepsicoindia.co.in/brands/kurkure.htmlhttp://pepsicoindia.co.in/brands/lays.htmlhttp://pepsicoindia.co.in/brands/lehar.htmlhttp://pepsicoindia.co.in/brands/mirinda.htmlhttp://pepsicoindia.co.in/brands/mountain-dew.htmlhttp://pepsicoindia.co.in/brands/nimbooz.htmlhttp://pepsicoindia.co.in/brands/pepsi.htmlhttp://pepsicoindia.co.in/brands/quaker-oats.htmlhttp://pepsicoindia.co.in/brands/slice.htmlhttp://pepsicoindia.co.in/brands/tropicana.htmlhttp://pepsicoindia.co.in/brands/uncle-chipps.htmlhttp://pepsicoindia.co.in/brands/uncle-chipps.htmlhttp://pepsicoindia.co.in/brands/tropicana.htmlhttp://pepsicoindia.co.in/brands/slice.htmlhttp://pepsicoindia.co.in/brands/quaker-oats.htmlhttp://pepsicoindia.co.in/brands/pepsi.htmlhttp://pepsicoindia.co.in/brands/nimbooz.htmlhttp://pepsicoindia.co.in/brands/mountain-dew.htmlhttp://pepsicoindia.co.in/brands/mirinda.htmlhttp://pepsicoindia.co.in/brands/lehar.htmlhttp://pepsicoindia.co.in/brands/lays.htmlhttp://pepsicoindia.co.in/brands/kurkure.htmlhttp://pepsicoindia.co.in/brands/gatorade.htmlhttp://pepsicoindia.co.in/brands/duke.htmlhttp://pepsicoindia.co.in/brands/Cheetos.htmlhttp://pepsicoindia.co.in/brands/aquafina.htmlhttp://pepsicoindia.co.in/brands/aliva.htmlhttp://pepsicoindia.co.in/brands/7up.htmlhttp://www.coca-colaindia.com/products/georgia.htmlhttp://www.coca-colaindia.com/products/scwepps.htmlhttp://www.coca-colaindia.com/products/kinley_soda.htmlhttp://www.coca-colaindia.com/products/kinley_water.htmlhttp://www.coca-colaindia.com/products/burn.htmlhttp://www.coca-colaindia.com/products/mm_nimbu_fresh.htmlhttp://www.coca-colaindia.com/products/mmpo.htmlhttp://www.coca-colaindia.com/products/milky_maaza.htmlhttp://www.coca-colaindia.com/products/limca.htmlhttp://www.coca-colaindia.com/products/fanta.htmlhttp://www.coca-colaindia.com/products/sprite.htmlhttp://www.coca-colaindia.com/products/thumsup.htmlhttp://www.coca-colaindia.com/products/diet_coke.htmlhttp://www.coca-colaindia.com/products/coca-cola.htmlhttp://en.wikipedia.org/wiki/Qu%C3%A9bechttp://en.wikipedia.org/wiki/Pakistanhttp://en.wikipedia.org/wiki/2011_Cricket_World_Cuphttp://en.wikipedia.org/wiki/2011_Cricket_World_Cuphttp://en.wikipedia.org/wiki/Pakistanhttp://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Portugalhttp://en.wikipedia.org/wiki/Brazil


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Brand Identity Prism

Pepsi-

Pepsis brand identity has transformed over the years, but primarily it has remained as a youthful

brand which empowers people to enjoy their youth. The external and internal indicators of Brand

Identity have been modified many times. Its logo, trademark, etc have undergone many changes

over time but the distinct identity of Pepsi has been maintained. We also see a consistency

in brand positioning for Pepsi as a Youth oriented brand. Its tagline in India YEH HAI

YOUNGISTAN MERI JAAN exemplifies that essence. Pepsis brand identity using Kapferers

Identity prism is as follows

Pepsis primary sources of brand equity are derived from its unique name with an American

connotation to it. Its logo, a sphere with 3 different colors aids brand recall. The brand endorsers

over the years, starting from Shahrukh khan, Sachin Tendulkar to Ranbir Kapoor, M.S Dhoni

have been a major source of equity for the brand. The brand has always looked for young faces

in order to relate with its youth target audience . Pepsi also drives it equity from its rival coke
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(which is the market leader with nearly 70% market share) as its only global competitor

primarily through creative advertising and communication strategy.

Another source of Pepsis Brand Equity is the huge consumer base of more than 200 million

across the world. Pepsicos Indian Subsidiary is trying to follow on its footsteps and is planning

to tap the next 1 billion consumers at the bottom of the pyramid with its exclusive offerings like

Iron chusti and Gluco+ . Its innovative Campaigns are also a predominant source of Pepsis

Brand Equity in India.

Several campaigns like Youngistaan ka Wow targeted at Youth and celebrating their audacious

self belief, thus bringing the brand closer to its Customers, The Game, a series of five gaming-

based television films developed specially for the ongoing IPL season, Change the Game and

First Ball ka Kaptan considering the cricket world cup and T-20 world cup have been

successful in leveraging the love for the game and reinforce the association of the game with

Pepsi. The CSR activities of the company also generate a lot of Brand equity, Its the only soft

drink manufacturer with a positive water balance in India. Pepsis wide Product Portfolio helps

in increasing the depth and Breadth of Brand Awareness.

Current Positioning Statement

Pepsi Brand positioning

Pepsi has always been brand that embodies the most prevalent youth sentiment. Over the years as

youth has evolved, so have Pepsis positioning and language. It has, however, consistently

stood for what the youth stands forright from Yeh Dil Maange More to Yeh Hai

Youngistaan Meri Jaan.

There have been several campaigns over the years. Each campaign has had an objective and the

ads were conceptualised based on the campaign objective. However, the core philosophy ofrefreshing the youth and giving them something new has never changed. The current Pepsi

tagline is Yeh Hai Youngistaan Meri Jaan. A few memorable ones over the years are: The

choice of a new generation (1990), Yeh hi hai right choice baby, Aha (1992), Yeh Dil

Maange More (1999), Yeh Pyass hai Badi (2004), and now, Yeh Hai Youngistaan Meri Jaan.

They have changed with the changing youth and their dominant sentiment in India.
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Over the years, various celebrities have been associated with brand Pepsi. India is a country with

two big obsessionsCricket and Bollywood. These two platforms have given India their youth

icons, whom the youth has always looked up to for inspiration, trends, etc. Hence, talking the

youth language through these celebrities has given the brand just the right connect with its target

audience. Since its inception, Pepsi has been successfully associated with celebrities from these

two fields, making it the number one cola amongst the youth. Over the years, weve had various

celebs that have had a long standing relationship with the brand, and which has been mutually

beneficial.

COCA COLA-

Cola is a category that's been been built on advertising. Though the two major brands in the

space, Coca-Cola and Pepsi, make a big deal about their 'formula,' there's little to distinguish

between the two brands of carbonated sugar water - except perhaps for the amount of sugar in

each of them. The upshot: Advertising has a huge role to play in consumers picking one over the

other.

A lot of Coke advertising from 1993 to 2003 was jingle-based, with taglines like: 'Always The

Real Thing', 'Pee Le Coca-Cola', 'Jo Chahe Ho Jaye...Coca-Cola Enjoy.' Bollywood stars

endorsing the brand include Karisma Kapoor, Aamir Khan, Hrithik Roshan and Aishwarya Rai

among others.

Thanda Matlab Coca-Cola firmly established Coke in India. The campaign also gave the brand a

very good edge over competition," says Santosh Padhi, CCO & cofounder, Taproot India which

handles communication for Pepsi. The objective of the company through the campaign was to

target small towns and not just the urban populace. "Coca-Cola India believed that the first brand

to offer communication targeted at smaller towns would own the rural market so it went afterthat objective with a comprehensive strategy," says the Coke spokesperson. In 2010, Coca-Cola

ran the 'Brrr...' campaign - again an adaptation of the brand's campaign in South Africa. On the

current challenges in selling Coke to the consumer, Joshi says, "Consumers today are spoilt for

choice. With such a vast range of options, they are fickle minded and over-communicated-to.
http://economictimes.indiatimes.com/topic/Coca-Colahttp://economictimes.indiatimes.com/topic/Advertisinghttp://economictimes.indiatimes.com/topic/Hrithik%20Roshanhttp://economictimes.indiatimes.com/topic/Hrithik%20Roshanhttp://economictimes.indiatimes.com/topic/Advertisinghttp://economictimes.indiatimes.com/topic/Coca-Cola


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However, the only way a brand can make itself valuable to the consumers is by offering

something more than just the functional benefit or just creating awareness about itself."

"Coke lost the opportunity when it stayed away from World Cup and now Pepsi is far ahead.

Their Olympics tie-up is a great chance for them to make a comeback and put some pressure.

Suggested Positioning Statement

Pepsi-

The optimistic attitude of the youth towards all problems in life is beautifully captured in 7Ups

new campaign. The campaign is part of the brands repositioning exercise that includes a new

tagline Dil bole I feel up, a brand new logo and packaging. The new logo retains the same

colour scheme as the earlier one; however, the font is different, and aims to be more youthful,

progressive and confident, says PepsiCo India. With the new campaign, the brand is undergoing

a changefrom a slightly negative accent earlier we are focusing on optimism as dictated by

research. Despite all that ails our country now, we are not down and out. There are many reasons

why we are still gung-ho about our future, instead of moping around, says Ruchira Jaitly,

category marketing director, flavoured carbonated drinks, PepsiCo. Youngsters today feel that

they can be agents of their own positive change. Irrespective of age, the optimism or as the

brand puts it, UPtimism, also stems from the awareness that everything can be improved upon.

To this end, a new website www.ifeelup.in is supported by initiatives on social networking

platforms such as Facebook(www.facebook.com/7UPIndia) andTwitter. To test if the whole

idea will work, the company launched a viral campaign first. On Twitter 7Up hosted the Worlds

Largest Virtual Conference, the #IFeelUp Tweetathon. The Tweetathon celebrated everything

positive about India and panelists discussed the most relevant topics of the day. The tweets wereput up without any brand reference, but got a tremendous response and thus it made us sure we

are on the right track, asserts Paul.
http://www.business-standard.com/india/prof_page.php?search=7Up&select=1http://www.business-standard.com/india/prof_page.php?search=7Up&select=1http://www.business-standard.com/india/prof_page.php?search=PepsiCo+India&select=1http://www.business-standard.com/india/prof_page.php?search=PepsiCo+India&select=1http://www.business-standard.com/india/prof_page.php?search=Ruchira+Jaitly&select=1http://www.business-standard.com/india/prof_page.php?search=Facebook&select=1http://www.business-standard.com/india/prof_page.php?search=Twitter&select=1http://www.business-standard.com/india/prof_page.php?search=Twitter&select=1http://www.business-standard.com/india/prof_page.php?search=Facebook&select=1http://www.business-standard.com/india/prof_page.php?search=Ruchira+Jaitly&select=1http://www.business-standard.com/india/prof_page.php?search=PepsiCo+India&select=1http://www.business-standard.com/india/prof_page.php?search=7Up&select=1


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Brand Mantra

Brand Spotlight: Coca-Cola

From the Three As to the Three Ps

Coca-Cola used to focus its strategy on the three As: availability, acceptability, andaffordability. While these provided for tremendous growth, they also led to lowered entry

barriers. Today, Coca-Colas mantra is the three Ps: preference, pervasive penetration, and

price-related value.

The Power of Brand Accessibility

If you were another soft drink company, you might define your competitive frame of reference as

the cola market or the soft drink market or even the beverage market. But Coke thinks of its

business and its market share in terms of share of human liquid consumption. This makes

water a competitor. In fact, a Coke executive has said that he wont be satisfied until there is a

Coca-Cola faucet in every home. Coca-Colas mantra is within an arms reach of desire.

Coca-Cola is Serious About Brand BuildingEach month, Coca-Cola tests 20 brand attributes with 4,000 consumers to measure movement.

The company also compensates (bonus and other compensation components) a large portion of

its senior managers based on brand preference.

One Final Coca-Cola Fact

A recent Coca-Cola annual report reported that the second most recognized expression in the

world after ok? is Coca-Cola.

Pepsi Chants Think Big, Win BigMantraWhen Pepsis ongoing summer promotion in the US Pepsi Play for a Billion culminates in alive game show where consumers will play for a billion dollars, the company will probably make

history yet again, this time in promotions. For Pepsi Play may be the first billion-dollar game

show prize, but odds are, it wont be the last. Demand for oversized prizes or rather thinking

big is increasing as companies seek non-traditional methods to rise above the clutter and achieve

brand awareness. Not surprisingly then, Thinking Big and Winning big forms the crux of thePepsis promotions strategy, a technique which has been used to create multi -million dollarpromotions at Pepsi.

Speaking at a workshop on breaking through the clutter: thinking big and winning big with

marketing promotions at the two-day Promo Power, Russell Weiner, director - marketing, Pepsi

Cola North America, outlined his Think Big Win Big process, which he said, has been used atPepsi to brainstorm big ideas and evaluate their potential for success.

According to Mr Weiner, the process circles around the theory of BIG which builds around the

three pillars of the marketing traingle: Brand building (B), Integration (I) and Grand in Scale (G).

the strategy is inter-connected and each needs one another to make the promo successful, he

said.


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Stressing on the importance of partners in promotions, Mr Weiner said that you should want

your partner to succeed as much as yourself. The Billionaire promotion, for instance, is

designed to boost revenue.

How you will enhance the equity?

Coke vs. Pepsi

One ongoing battle that has been waging for years is the one that exists between Pepsi and Coke,

or formally known as Pepsi Cola and Coca-Cola. There are plenty of variables that could

influence any particular consumer, including taste preference, packaging preference and

availability within a particular market. From the polls Ive seen, usually (and I use that term very

loosely, people) Coke tends to score better than Pepsi in terms of consumer preference. The

ratings, however, are extremely close. For example:

An online Tribune poll revealed a virtual dead heat in the great Coke versus Pepsi debate. Of

the 346 votes cast, 50.87 percent took Coke and 49.13 percent went with Pepsi. Pepsi has

demanded a recount.

All that said, we still dont know the answer: who has the most brand equity? Coke or Pepsi? If

theres one thing Ive learned over the years while working at ZoomCreates, its that doing a

rebrand is a big deal. If the company we are rebranding has any brand equity at all, it will be

important to keep some elements of the original brand in order to maintain familiarity. Taking a

brand that is easily recognized and people feel comfortable with and rebranding to the point of

no recognition at all would most certainly be a bad move. Look at the similarities among all

rebrands over the years for both Coke and Pepsi [see image at right].

By comparing the timeline of each brand, it is clear that Coke has held tighter to its original

concept that Pepsi has, but whether or not that directly affects the sales is unclear. What is clear,

however, is that by looking at the chart, we are seeing two entirely different branding strategies:

Pepsi has been changed significantly over the years, possibly to keep up with the times or to keep

the look fresh and youthful. Coke, on the other hand, has made itty bitty changes spanning

decades and the mark today is strikingly similar to what it was in 1887.


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I can only speak for myself when I say that I have more respect for the Coca-cola brand. It

strikes me as stable and unchanging through recessions, wars, times of peace, president after

president. To look at the evolution of the Pepsi logo gives me the feeling that the mark is lost and

even after more than 200 years is still searching to find itself. While I admire their ongoing

efforts, I feel like shouting, just PICK ONE already!

Draw CBBE pyramid for the brand?

pepsi cbbe model

Caffeine-Free Pepsi-Cola was introduced, under the brand name Pepsi Free, in 1982 by PepsiCo

as the first major-brand caffeine-free cola in years. (The Canada Dry Company had marketed

"Sport Cola," which was also caffeine-free, in the 1960s, but that brand of cola was not a

success.) A sugar-free variant, pepsi cbbe model then known as Diet Pepsi Free, was also

introduced. The Pepsi Free name itself was phased out in 1987, two years after the brand name


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became the punchline of one of the jokes in Back to the Future, and today these colas are known

simply aspepsi cbbe model Caffeine-Free Pepsi and Caffeine-Free Diet Pepsi. The term "Free"

had been reintroduced by Pepsico on their Sierra Mist line in response to Coca-Cola's successful

introduction of their Zero line (although the "Free" refers to a lack of sugar rather than caffeine,

since pepsi cbbe model Sierra Mist is already caffeine-free), though in 2008 that drink had

reverted to its previous name of Diet Sierra Mist.

Upon entering a caf in 1955, Marty McFly (Michael J. Fox) asks for a TaB (Coca-Cola's first

version of a sugar-free soft drink, which was not available until 1963) and is told that he cannot

have a "tab", meaning anpepsi cbbe modelaccount where goods are sold on the basis of credit

and not paid for immediately, unless he orders something. He then asks for a Pepsi Free(also not

available in the 1950's) and is told, "If you want a Pepsi, pal, you're gonna pay for it!" ("Free" is

here being mistaken for gratis.) pepsi cbbe model Finally, he asks for "something without any

sugar in it," and is served black coffee.

This scene was one of the factors that led to Pepsico re-branding the colaA can of Diet Pepsi

Free can be seen beside Marty's alarm clock towards the beginning of the movie when Doc

(Christopher Lloyd) calls him to remind him to meet him pepsi cbbe model at the mall. The can

is also seen toward the end of the movie when Marty wakes up the morning after Doc drops him

off at his house in 1985.

Enlist the current marketing programs for the brand?

PEPSI

As everyone knows, Pepsi is always trying to get ahead of their rival Coca-Cola, and in the past,

it was by way of celebrity endorsements such as with Britney Spears, Pink and Beyonce helping

the brand to be able to keep up with its competition. Recently, however, Pepsi is trying a new

way to connect with its audience by partnering with popular TV networks (such as NBC) and

strategically placing commercials to better relate to their audiences. These recent trends inPepsis marketing plan appear to be onto something unique and has me wondering, has Pepsifinally found the right formula to win the cola wars?

Pepsis newest advertising venture featured a few weeks ago raised eyebrows on the January 31stedition of Saturday Night Live. Pepsi had a Saturday Night Live cast act as an ad agency for

Pepsi in imitation of an SNL skit that ran during the commercial breaks. Wanting to have a new

contemporary approach to connect with the consumer, TV executives are now open to mixing

ads and network television programs as a way to connect and entice their audience. NBCs Mr.


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Silverman seeks more creative opportunity and says that the SNL-type of commercials will

continue.Another way that Pepsi has revamped their advertising has been strategically placing their

commercials. At Sunday nights Grammys, Pepsi paid for the spot after singer Will.i.iam

presented an award, having a special bumper featuring the rappers likeness appear, which

then moved into a recently launched Pepsi ad featuring both Will.i.am and Bob Dylan. Pepsiclaims it hopes the placement of the commercial will help them to relate to the audience better.

With new technology such as TIVO and the ability to fast forward past commercial breaks,

networks are guaranteeing that their ads appear in more specific places. Although this is an

appealing idea, Im wondering if this will in fact fulfill Pepsis hopes of communicating andconnecting with their audience more. I am interested to see your thoughts on this, do you think

Pepsis new approach will help them to better connect to their audience and put them ahead oftheir rival once and for all?

COCA COLA-

Marketing objectives follow:

Change Coca-Colas brand image towards more global/local responsible attitude.

Inform target audience about features and benefits of the new product.

Boost sales based on the predicted overtaking of carbonated drinks by health drinks by 2015

Pricing Strategy

On the right is a marketing tool to work out pricing strategy. Coca-Cola have a high market

share, competitor pressure has forced customer sensitivity to price to be fairly high, sales volume

is of course high and profit margin is fairlylow as the Coca-Cola products are fast moving

consumer goods. This points to penetration strategy. Penetration pricing means the setting of

lower rather than high prices to achieve potentially dominant market share. This can only be

done where demand for the product is believed to be highly flexible, basically demand is

pricesensitive and either new consumers will be attracted, or existing consumers will buy more

of the product because of a low price.

A good penetration strategy may lead to large amount of sales and large market shares. The

strategy may also promote complimentary products. The main product may be priced low to

attract sales, customers are then sold accessories. This strategy will work nicely in promoting re-

use of Coca-Cola packaging via a beverage holder of vessel which is purchased separately and


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refilled Price Penetration is most appropriate in industries where standardization is important.

The product that achieves high market penetration often becomes the industry standard, in

regards to the new Coca-Cola beverage vessel, it is trying to create a standardization of how

consumers use the beverage container. Coca-Cola are likely to receive stiff competition soon

after introduction of the product, although the product that achieves high market penetration

often becomes the industry standard and other products, even superior products, become

marginalized. Standards carry heavy momentum.

product relation of pepsi &coke

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