Beverage Industry

Topics: Coca-Cola, Pepsi, PepsiCo Pages: 11 (3463 words) Published: February 24, 2012

Indian beverages industries size is Rs. 8000 crores and it is dominated by two players’ viz PEPSI & COKE. This high profile industry has lot of potential for growth as per capita consumption in India is 9 bottles a year as compared to 20 bottles in Sri Lanka, 14 in Pakistan, while 12 bottles a person in Nepal. The RKG Group is India’s leading supplier of retailer brand carbonated & noncarbonated soft drinks, with beverages manufacturing facilities in India & Nepal. Its experience in the beverage industry dates back to the sixties when it had the first franchise at Mathura. The family manufactures and markets carbonated & non carbonated soft drinks and mineral water under Pepsi Brand. The various flavour and sub brands are Pepsi, Mirinda orange, mirinda Lemon, Mountain Dew, & 7up, Slice orange, Everest soda and Aquafina. It has the licence to supply beverages in the territories of western UP, part of MP, half of Haryana, whole of Rajasthan, Goa three districts of Maharashtra, 13 districts of Karnataka, and whole of Nepal. The group has in total 18 bottling plants in India & Nepal is responsible for producing and marketing 44% Pepsi requirement in India.


Pepsi-Cola, most commonly called Pepsi, is a soft drink produced by PepsiCo which is sold worldwide in stores, restaurants and vending machines. The brand was trademarked on June 16, 1903, though the drink was first made in 1898 by pharmacist Caleb Bradham. Similar to Coca-Cola, its major rival, Pepsi was originally intended to cure stomach pains. There are several types of Pepsi, including Pepsi Vanilla, Diet Pepsi (the most popular variant), and, outside the United States, Pepsi Max. History

Pepsi-Cola, originally called "Brad's drink", was first made in New Bern, North Carolina in the United States in the early1890s by pharmacist Caleb Bradham. On August 28, 1898, "Brad's drink" was changed to "Pepsi-Cola “and later trademarked on June 16, 1903. As Pepsi was initially intended to cure stomach pains, Bradham coined the name Pepsi from the condition dyspepsia (stomach ache or indigestion). It was made of carbonated water, sugar, vanilla, rare oils, pepsin and kola nuts. In 1903, Bradham moved the bottling of Pepsi-Cola from his drugstore into a rented warehouse. That year, Bradham sold 7,968 gallons of syrup. The next year, Pepsi was sold in six-ounce bottles and sales increased to 19,848gallons. In 1905, Pepsi received its first logo redesign since the original design of 1898. In 1906, the logo was changed again. That same year, the US federal government passed the Pure Food and Drug Act, banning substances such as arsenic, lead, barium, and uranium from food and beverages. This forced Coca-Cola to change their formula; however, Pepsi-Cola was already free of these substances, and thus claimed they already met federal requirements. In 1909, automobile race pioneer Barney Oldfield endorsed Pepsi-Cola in newspaper ads as "A bully drink...refreshing, invigorating, a fine bracer before a race". In 1923, PepsiCo went bankrupt due to high sugar prices as a result of World War I, assets were sold and Roy C. Megargel bought the Pepsi trademark. Eight years later, the company went bankrupt again, resulting in a reformulation of the Pepsi-Cola syrup formula. In the following years, the drink gained in popularity and in 1934, debuted the 12-ounce drink. In 1964, the Diet Pepsi variation of the drink debuted, being the United States first national diet soft drink. In 1980, Pepsi introduced the Pepsi Challenge marketing campaign where PepsiCo set up a blind tasting between Pepsi-Cola and rival Coca-Cola. During these blind taste tests the majority of participants picked Pepsi as the better tasting of the two soft drinks. Pepsi took great advantage of the campaign with television commercials reporting the test results to the public. While some claim that Pepsi tastes identical to...
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