| Total stockholders’ (shareholders’) equity | 17325 | 21,744 | Not many corporations can boast of a 100 Year rivalry. The beverages industry witnessed such intense competition between Coca-Cola and Pepsi-Co That one can say that the competition between the corporations was, and still is so intense it could be likened to sibling rivalry, albeit a very serious one since finances are involved. The product offerings of both companies are so similar, that if one were to remove the brand names from their respective products, an individual would not be able to distinguish one from the other. The companies not only compete in soft drinks, but also have branched out to other beverages including coffee, juice drinks and even water. If Pepsi were to offer a new product it wouldn't be surprising to see Coca-Cola follow suit.
Bradham had several flavors but the most popular, created in 1893, was called “Brads drink” and consisted of vanilla, sugar, carbonated water, rare oils, cola nuts and pepsin. Brads drink was renamed Pepsi Cola in 1898 because of the two ingredients that are used in the drink Pepsin and Cola nuts. The trade name was purchased for $100 and the new name was trademarked on June 16th, 1903. Pepsi Cola was purchased in 1931 by the Loft Candy Company where the drink was made popular again after being lost by Caleb Bradham in 1923. In 1940 the first jingle “Nickel Nickel” which referred to the price of the drink was released for advertisement.
Coca-Cola is probably doing better now and will probably do even better financially in the future because of all their new products. Since they have started to decrease the sugar and calories in many of their products, it is helping the society to decrease obesity with their drinks and also is helping their company to do better since their consumers want to buy their products. In the book, we talk about sustainability. I believe that Coca-Cola’s new products, new commercial, and new perspective is sustainable. As stated in MKTG, sustainability ‘refers to the idea that socially responsible companies will outperform their peers by focusing on the world’s social problems and viewing them as opportunities to build profits and help the world at the same time(p.38)’.
Pepsi use the Notional Football League players to help target customers for the diet drinks the company has. The Bold 10 is targeted for men between the ages of 25 and 34 who want to continue to drink Dr. Pepper but have fewer calories in the soft drinks. Apple is a company that keeps growing. The company has found a target audience for each of the products the company sales. Learning what customers want and need can be hard for some companies to master.
Unlike people in Europe, Americans don’t drink as much sparkling water. They also prefer Coke or Pepsi versus generic soda that represents less than 2% of all soda sales in U.S. In my opinion, one of the ways to overcome this challenge is to create co-opetition by partnering with Coke or Pepsi and deliver consumer’s preferred flavors. Another option is to take advantage of a new health trend and offer to the customers many varieties of naturally flavored water. While spending $80 to $200 on soda maker might be a good
After sugar prices fell, he was left with a large inventory of overprices sugar, bankrupting the company in 1923. The assets of the company were then sold to Craven Holding Corporation for just$30,000. Frito-Lay Inc. merged with the company in 1961("PepsiCo", 2012). The company also owns many other brands including Sierra Mist, Slice, Tropicana, Ocean Spray, Mountain Dew, Mug Root Beer, No Fear, Seattle’s Best Coffee, Tazo, SoBe, Aquafina, and has a partnership with Starbucks and Lipton. In 1970 PepsiCo had sales exceeding one billion dollars and passed the two billion mark by 1974.
Meanwhile, light beer is generally more preferred among younger drinkers, and it is “the only beer category demonstrating consistent growth”. According to the BCG matrix, MM Lager is the company’s cash cow, but with its steady decline in sales, it will soon become a dog, even if the company invests more in marketing to boost sales. MM Light is a question mark, and with sound marketing strategies that may cost the same amount, introducing MM Light would ensure sales and growth. ------------------------------------------------- 1.2 Potential Risks ------------------------------------------------- Risks that this decision may induce: The new product may hurt the long-standing brand equity of MM Lager; Existing customers may be alienated, and new customers will not be as loyal; Costs will increase; other brands that have more resources for advertising cannot be competed against. As a result, we decided to introduce the MM light beer to a new market segment and reposition the brand for MM light so as to reduce the damage it may cause to the brand equity of MM Lager and differentiate MM light from its competitors.
Redesign ‘Rebranding Pepsi Campaign’ 1. Campaign title and time/date of the campaign: “My Pepsi, My Healthy, My Energy” Campaign, March 2012 2. Situation Analysis: PepsiCo faced waning sales due to the worsening US economy, economic slowdown, the global financial crisis, and plunging stock markets. Moreover, the company noticed that the US consumers’ preferences were shifting to cheaper and healthier drinks and that people were cutting down on their spending on beverages. April 28, 2011 (Bloomberg) -- PepsiCo Inc., the world’s largest snack-food maker, reported a 27 percent gain in first-quarter sales, bolstered by purchases in international markets.
1. In the video the macro environment of PepsiCo was largely influenced by the demographics and cultural ways of India where by the demonstrated a violent protest, because in that area water is a very valued resource and PepsiCo were destroying their rivers with chemical waste, whiles the people of that country go thirsty for water. Diversity: PepsiCo diversify the world by being the first major company to market to African Americans, they say that as an untapped resource and took full advantage of it which was proven successful. Technological Environment: these are the forces that create new technologies, creating new product and market opportunities. 1.
Pepsi’s Marketing Idea In 1961 Pepsi had redefined its target audience, recognising the importance of securing the younger post-war generation as consumers, with the slogan “Now It’s Pepsi, for those who think young” defining youth as a state of mind rather than actual age (Pepsi.com, 2006). Over the years, Pepsi’s campaigns continued to evolve in order to capture the post-war baby boom demographic constantly revolving advertising campaigns around the notion of youthful imagery and lifestyle (Pepsi.com 2006). Although in the 1950’s Pepsi had used Hollywood starlet Joan Crawford at the forefront of their company, it wasn’t until 1984 when Pepsi used celebrity, Michael Jackson who also appealed to their demographic, that the marketing power of a celebrity was noticed by the company. This idea proved to be extremely successful and since then, it’s no secret that Pepsi pay the