Promotion

Promotion is one of the four aspects of marketing. Promotion comprises four sub categories: 1. Advertising 2. Sales promotion 3. Publicity and public relations 4. personal selling The specification of these four variables creates a promotional mix or promotional plan. A promotional mix specifies how much attention to pay to each of the four sub categories, and how much money to budget for each. A promotional plan can have a wide range of objectives, including: sales increases, new product acceptance, and creation of brand equity, Positioning, competitive retaliations, or creation of a corporate image

Promotional Strategies for PEPSI

The two basis objective for carrying out such various promotional activities by Pepsi is to generate more sales as well as to create and maintain an image of its product. It carries out promotional activities as controlled and integrated programmer of communication land, material design presents its soft drink to perspective customers, and it also helps in communicating the need of soft drink to facilitate the sale eventually to contribute toward the profit in long range. The tools used by Pepsi for fulfilling various purposes of its promotional activities are the following

1. Advertising
The main motive behind the purpose of advertising of Pepsi Food Pvt ltd is to maintain the brand loyalty. All the bottles of India has to advertise the product Pepsi, 7up, Mirinda, Slice, Team and Soda as per the norms and guidance of the Pepsi Food Pvt Ltd. India. On national basis the Pepsi Food Pvt Ltd does the advertisement on an extensive basis using a number of media. Media 1. 2. 3. 4. 5. 6. Painting wall of visible site Aerial signage Glow signage board Boards Poster Banner Striker

7. Dangler The main slogan used by Pepsi Food (Soft drink) all over India for its cola product has been the choice of new generation. But past years, it was dropped and introduced new slogan, Yahi Hai Right Choice Baby and then Yeh Dil Mange More . Various characters have been used to advertisement from time to time, 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 Remo Fernandis and Juhi Chawla Kapil Dev with Growl Buddhist Amir Khan Md. Azaruddin, Sachin and Kambli Akshay Kumar Md. Azaruddin and Sachin Tendulkar Rahul Dravid Sharukh Khan and Amitabh Bachan Govinda and Rani Mukherjee Ajay Jadeja, Kajol Amitabh Bachan and Sachin Fardeen Khan and Rahul Khanna Ganguli, Dravid, Harbajan, Zaheer, Kaif and Sharukh Kareena Kapoor Sharukh Khan Sharukh Khan, Kareena Kapoor, Priyanka Chopra

The other advertisements for its product slice is Jab Gale Se Jyada Pet Ho Pyasa , Pepsi is Oye Babli Hai Babli and Mirinda lemon is Jor Ka Jhatkha Dhire Se Lage The media channel extensively used is magazines and newspapers of national repute. There are many promotional tools used also as, hoardings, play cards, spectacular and important tool of sales promotion soft drink is bought on impulses on the space on the moment. Thus the sales are fast when it is brought to people attention.

All the displays are done as guided and instructed by the Pepsi. W ith given instructions to its distributions who in turn give guidance to the owners of the retail outlets. A good way of putting soft drink of display is 1. Grouping filled bottles together (With trade mark facing out) 2. Stocking full cases on top of the other space permitting, where people can easily see them

Coolers: In spite of the above method being used for display the best one is to use the coolers as an equipment of display of soft drinks. The coolers are supplied to the retail outlets by the company itself through the distributors. The company supplies these coolers at reasonable price without changing the profit. The bright colour and attractive appearance of the colour is eye catching and draws attention immediately. Banners, small play cards, cardboard etc. are other displayed just at the point where soft dr ink is being sold suggested positions are either above the retail outlet. It helps in providing the consumers as well as the prospect the place availability of soft drink... The another aspect of display to maintain stock of bottle of soft drink at various important places such as petrol pumps, on the railway platform and the bus stand

2. Sales Promotion
The sale promotion is one area of Promotion Mix where every company concentrates most to promote its brands. Although sell promotion has short life period yet it is very effective in promoting sale to the greater extent. Sale promotional activities adopted by Pepsi are: Premiums (Gifts): The Company gives different types gifts to his own consumer with either every bottle or some bottles in its crown. The gifts often comprise cash money, rebates free soft drinks, openers, crown scheme, goods etc. POP display and demonstration: The Pepsi Company involves POP (Point purchase display and demonstration) to promote its brands. Here, the company supplies different kinds of attractive and good posters, calendars, caps tee to wholesalers and retailers to promote its brand through POP display and demonstration. Discount: Time to Time and is peak season (ie; MarchSeptember) company announces discount for wholesalers, retailers and consumers also. Scratch Card: Scratch is one of the very effective and important methods of the sale promotion adopted by the Pepsi. The company offers scratch card offer at every retail outlet to promote sale. Here, with every bottle of Pepsi brands, a scratch card is given to buyer. Every card ha some hidden prizes. The prize is appeared after rubbing. The consumers are given the prize associated with appeared prize.

Dealers sales contest: Another method of sales promotion is being used, by Pepsi. Through its distributions is to conduct dealers sales contest during the peak season ie; During April to July. If the dealer are given prizes in the form of soft drinks. In the contest at first, dealer is categorized by their performance and then each distributor is fixed a target of minimum sale for each category which every dealer accosting its category has to achieve during the contest period. The dealer achieving highest sales order and above the target set is given the awards as under the order prize. Free bottle scheme: This scheme is scheduled for retailers only. Retailer avail the benefits of the free bottle on the purchase of prescribed number of cases of soft drinks. The number of free bottles depends on the policy of the company and prevailing circumstances of the market. This scheme is highly fruitful in motivating the retailers for increasing the sale of Pepsi products. Almost all the retailers are of the same view that, like Coca Cola, Pepsi should also launch free bottle scheme on regular day basis Hit shot under the crown scheme UTC: This scheme was scheduled for retailers as well as consumers. Under this scheme one has to collect the Pepsi hot shots 30 collectible crown with exclusive 15 Amitabh Bachhan and 15 Sachin pictures from last two decades, spanning their life time of achievements. Under this loads prizes to be won. Prizes included tshirts, posters, photo frames and autograph books. The crown schemes on lemon Mirinda UTC: This scheme was scheduled for retailers as well as consumers. This scheme was limited only on the Mirinda, Lemon flavours. Prizes worth Rs.2, Rs.5, Rs.10, Rs.100, Rs.1000 to be won under the scheme. Scheme of Cinema ticket: This scheme was scheduled for retailers only. Retailers avails the benefits of free cinema ticket with Pepsi chips and Samosa in cinema hall on the purchase of prescribed number of crates of Pepsi Scheme of free gift: Nowadays this scheme has become more popular among the retailers. This scheme is for retailers avails the benefits of the gifts like Camera, W rist Watch, Casserole on the prescribed number of crates of soft drinks. Special event market: The retailers at special event spots like picnics, festivals and cricket, place the banners and stall of Pepsi food products. It helps in promoting the sales as well as in creating an image of product.

Advantages of Sale promotion 1. Sales promotion makes an immediate effect on sales 2. It stimulates positive attitude towards the products 3. It gives an extra incentives to the retailers/consumers to make a new purchase 4. Measurement of the effectiveness of the sales promotion is easier against the other promotional methods 5. It gives extra incentive to take immediate action now rather than later 6. It has flexibility and can be used at any stage of a new product introduction. Sales promotion is very effective in this regard 7. Products are becoming standardized and similar and so need increased support of non-price factors of which sales promotion is important

Limitations of sales promotion 1. Sales promotion has temporary and very short life span. Sales promotion alone cannot build up the brand loyalty 2. Sales promotions are only supplements, devices to supplement selling efforts of other promotion tools 3. They are not recurring in their use. They have seldom reuse value 4. Too much sales promotion may affect adversely the brand image, suggesting its lack of popularity of overstocking by the company 5. Advertising agencies accord law status to sales promotion so that they may be trained for more creative jobs 6. Sales promotions are ineffective in lack of proper planning and research for sales promotion

3. Public relation and Publicity

As public relation is a management tool designed to favourably influence attitudes towards an organization, its products and policies, whereas publicity is any communication about an organization, its products and policies through the media which is not paid by the organization

But beyond this, Pepsi goes for Marketing Public Relation (MPR) where the company directly support corporate product promotion and image making. This is the responsibility make for marketing division rather than public relation department. To promote its products through Marketing Public Relation, Pepsi has various tools,

Organizing events: Pepsi organises, sponsors and co-sponsors various games and sport events to get publicity, through electronic and print media. These games may be played at local, national and international level. Besides this the company also sponsors various functions and indoor games at local levels. Music and Dance Programme: Time to time, Pepsi sponsors various music and dance programs in different cities across the country. This type of events organized by Pepsi has become very helpful in i. Building the corporate image favourable in public ii. Boosting the sales force and dealer enthusiasm. They feel proud to speak about its products iii. Influencing specific target market and bringing interest in product category

4. Personal selling
Conceptually there is not any place for personal selling in soft drink industry. It falls into illegal trade. However Pepsi adopts surrogate nature of personal selling. As soft drink allows the company to communicate frequently and directly with wholesalers and retailers than consumers. For clear and reliable communication, the company appoints Territory sales executive in every market segments. The main work of territory sales executives is to communicate with wholesalers and retailers of their concerned market segments on regular basis. Besides they also play the watchdog in the market. They observe the brand position in the market and compare it with competitors brand and place the report to area sales manager. They also see that there is no much fluctuation in the supply of Pepsi s products in the market and the products are available to consumers with ease especially in the peak season (March to September). The distributors are also involved in the personal selling. For this they appoint salesman as per the instructions and guidance given by the company. The company provides the training facilities to salesman when required by the distributors. For good and effective merchandising a salesman performs following function such as: i. The salesmen are one of the best chains to cultivate the goodwill to all the selling work ii. He checks the stocks, maintains a plan and fulfils the demand through the requirement. iii. He educates the dealers about the method of refrigeration of soft drinks

iv. He tells his dealers about the method and good way of putting soft drink on display.

Incentives

Suggestion scheme awards: if anybody gives any suggestion regarding the product quality and promotional activities the company awards prizes to the best suggestion either in cash or kind. Man of the month: For increasing the sales the company also has an arrangement of giving the prize who achieves the target successfully Man of the year: The company also gives an annual prize to the best performer in the sales of the products over the whole year