Marketing Analysis of Pepsico

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MARKETING MANAGEMENT ASSIGNMENT ON
PEPSICO

Submitted To: Submitted By: - Dr Kavita Pathak Rohit Pal Shohrab A. Mazumdar Vatsal Sharma Vaibhav Anand Rai

ACKNOWLEDGEMENT

We wish to express our sincere gratitude to Dr Kavita Pathak (Marketing Area) for mentoring us and providing us with immense help till the completion of this project. Here we also take opportunity to record a good team work which forms the basis of this projects completion. We also thank our batch mates for being so supportive. Last but not least, we wish to express a sense of gratitude to our beloved parents and God Almighty for His blessings.

TABLE OF CONTENTS:

Overview of the Indian Beverage Industry

The Indian packaged food market is huge with the packaged tea and biscuit segments on top. Although soft drinks constitute the third largest segment, compared to other developing countries the market penetration is still very low. This indicates a further potential for rapid growth. It is a telling point that the average per capita consumption of soft drinks in the US is 700 bottles per capita / year, while in India it is only 10 bottles a year; the rural areas with an estimated 700 million people accounting for only 4 bottles per capita / year.

According to a report by Euromonitor International, soft drinks in India have been estimated to have a market of 3.108 million US $. Soft drink volume sales are expected to rise by 8.6% per year. The sales of bottled water are also expected to rise rapidly in the next five years with an annual growth rate of 16.5%. Growing health awareness and increasing demand for hygienic products will fuel the dynamic growth of juices by an annual rate of almost 22%. Penetration in rural markets will also contribute to sales increase in soft drinks. Overview of the Firm

Pepsi had a 5 year head start over Coke in the Indian market, when it launched operations in partnership with one of India’s leading business house – the RP Goenka group of companies. Pepsi later on partnered with the state government of Punjab and launched the “Lehar Pepsi Brand”. It quickly identified some rising movie stars (Aishwarya Rai and Aamir Khan), and had them endorse the Lehar Pepsi brand, blanketing Indian television with an advertising attack, and quickly entering the consciousness of the Indian consumer. It also customised its ad campaigns to suit the Indian market, and came up with a hybridised set of slogans which had both English and Hindi elements (a slang called Hinglish, which is what the Urban Indian speaks), some of the catchy slogans that captured the attention of the Indian market were, * Yehi Hai right choice baby aha (this is the right choice baby- Aha!) * Yeh Dil Mange More (This heart asks for more)

* Azadi Dil ki ( Freedom of the heart), these slogans were backed up by a long running TV &Print media campaign, and helped establish Pepsi in the Indian market. * Ye Hai Yongistan Meri Jaan

* Change The Game

Firm’s Marketing Offering

1. PEPSI CO to expand Quaker oat offering to upma and poha: PEPESI CO is further localising its quaker oat brands by extending it to ready to cook business such as upma and poha. 2. PEPSI CO is focusing on strengthening its local offerings in the beverage portfolio:Currently, Pepsi is pilot testing a 200-ml noncarbonated energy drink called ‘Gluco Plus’.The product is a result of collaboration between PepsiCo and Tata Group. In the fruit-based drinks, where mango flavours dominate, led by Coca-Cola owned Maaza. 3. PEPSI CO is trying to find a way to create carbonated consumption at home....
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