Rural marketing of Pepsi

SUBMITTED TO : PROF SUSHMITA MUKHERJI.

*TOPICS*
1. INTRODUCTION .
2.

THE CHANGE OF LOGOS AND SLOGANS .

3.

RURAL MARKETING OF PEPSI

and its positioning

4.

MARKETING STRATEGIES .

5.

SWOT ANALYSIS .

6.

HISTORY .

7.

List of products

GROUP MEMBERS

ROLL NO

i. AKSHAY SHETTY

95

ii. SHAHEZAD NATHANI

70

iii. SWATI SANAP

86

iv. DIMPLE PANSANIYA

75

v. POONAM NAGAONKAR

68

vi. KEVIN VORA

IntroDUCTION:
In 1893, Caleb Bradham, a young pharmacist from New Bern, North Carolina, begins experimenting with many different soft drink concoctions. Like many pharmacists at the turn of the century he had a soda fountain in his drugstore, where he served his customers refreshing drinks, that he created himself. His most popular beverage was something he called "Brad's drink" made of carbonated water, sugar, vanilla, rare oils, pepsin and cola nuts. One of Caleb's formulations, known as "Brad's drink", created in the summer of 1893, was later renamed Pepsi Cola after the pepsin and cola nuts used in the recipe. In 1898, Caleb Bradham wisely bought the trade name "Pep Cola" for $100 from a competitor from Newark, New Jersey that had gone broke. The new name was trademarked on June 16th, 1903. Bradham's neighbor, an artist designed the first Pepsi logo and ninety-seven shares of stock for Bradham's new company were issued.

Pepsi-Cola of Madison distributes Pepsi products to the greater Madison area. The Pepsi-Cola Company was founded in New Bern, North Carolina in 1898. The local PepsiCola of Madison franchise was owned by Fauerbach Brewery in the 1950s, when Ray Malquist purchased it and grew the PepsiCola business to its position as the number one soft drink company in the area. It is a privately held company that has approximately 200 employees at the Windsor location and distributes about 130 different Pepsi-cola products to the greater Madison area. Soft drinks giants Coca-Cola and Pepsi have signed on thousands of new retailers in a drive into rural India [ Images ] that has pushed up sales steeply.Coca-Cola has made its beverages available in 40,000 additional villages in the last three years.As a result, the rural areas now contribute 35 per cent of the company's sales compared with 25 per cent in 2000.

THE CHANGE OF LOGOS AND SLOGANS:

The new name, Pepsi-Cola, was first used on August 28. The Pepsi logo is a simple globe with the Pepsi colors in the background and the word Pepsi in the foreground. Pepsi has changed its logo and its slogans a number of times since its introduction in 1898. The Pepsi slogans through the years are listed below:

19391950: "Twice as Much for a Nickel" 1950: "More Bounce to the Ounce" 19501957: "Any Weather is Pepsi Weather" 19571958: "Say Pepsi, Please" 19581961: "Be Sociable, Have a Pepsi" 1961-1963: "Now It's Pepsi for Those Who Think Young" (jingle sung by Joanie Sommers) 19631967: "Come Alive, You're in the Pepsi Generation" (jingle sung by Joanie Sommers) 19671969: "(Taste that beats the others cold) Pepsi Pours It On". 19691975: "You've Got a Lot to Live, and Pepsi's Got a Lot to Give" 19751977: "Have a Pepsi Day" 19771980: "Join the Pepsi People (Feeling Free)" 19801981: "Catch That Pepsi Spirit" [David Lucas, composer] 19811983: "Pepsi's got your taste for life" 1983: "It's cheaper than Coke!" 19831984: "Pepsi Now! Take the Challenge!" 19841991: "Pepsi. The Choice of a New Generation" (commercial with Michael Jackson and The Jacksons, featuring Pepsi version of Billie Jean) 19861987: "We've Got The Taste" (commercial with Tina Turner)

19871990: "Pepsi's Cool" (commercial with Michael Jackson, featuring Pepsi version of Bad) 19901991: "You got the right one Baby UH HUH" (sung by Ray Charles for Diet Pepsi) 19901991: "Yehi hai right choice Baby UH HUH" (Hindi - meaning "This is the right choice Baby UH HUH") (India) 19911992: "Gotta Have It"/"Chill Out" 19921993: "Be Young, Have Fun, Drink Pepsi" 19931994: "Right Now"Van Halen song for the Crystal Pepsi advertisement. 19941995: "Double Dutch Bus" (Pepsi song sung by Brad Bentz) 1995: "Nothing Else is a Pepsi" 19951996: "Drink Pepsi. Get Stuff." Pepsi Stuff campaign 19961997: "Pepsi:There's nothing official about it" (During the Wills World Cup (cricket) held in India/Pakistan/Sri Lanka) 19971998: "Generation Next" - with the Spice Girls. 19981999: "It's the cola" (100th anniversary commercial) 19992000: "For Those Who Think Young"/"The Joy of Pepsi-Cola" (commercial with Britney Spears/commercial with Mary J. Blige) 1999-2006: "Yeh dil maange more" (Hindi - meaning "This heart asks for more") (India) 2003: "It's the Cola"/"Dare for More" (Pepsi Commercial) 20052006: "An ice cold Pepsi. It's better than sex!" (Larry Sypolt) 20062007: "Why You Doggin' Me"/"Taste the one that's forever young" Commercial featuring Mary J. Blige

20072008: "More Happy"/"Taste the once that's forever young" (Michael Alexander) 2008: "Pepsi Stuff" Super Bowl Commercial (Justin Timberlake) 2008: "epsi is #1" v commercial (Luke Rosin) 2008present: "Something for Everyone." 2009present: "Refresh Everything"/"Every Generation Refreshes The World" 2009-present: "Yeh hai youngistaan meri jaan" (Hindi - meaning "This is our young country my baby") (India) 2009-present: "My Pepsi My Way"(India)

Rural marketing OF PEPSI:

Rural marketing is promotion of a company's products in the rural market by using strategies which differs from that of urban market, the rural market is more price sensitive but it has preference for quality. For rural market, it will be ideal to think of strategies from the marketing mix point of view, main strategies are related to product, price, place and promotion which are described as follows.

Pepsi rural marketing:

Pepsi company India has entered into rural market by having joint programme with the Punjab agriculture university in ludhiana and Punjab agro industries corporation in chandigarh. The programme focuses on evolving agricultural practices to help Punjab farmers produce crops that would make Indian products

internationally competitive. To cultivate a range of sweet oranges for its Tropicana range. Apart from that, they have given advertisement to attract the rural people with the celebrity of Amitabh bachchan and star cricketer sachin tendulkar.

Positioning:
The campaign positioning is done on the basis of user approach i.e a personality based approach where a users image or association rubs off on the brand image. The user could be a celebrity or an ordinary user. For this campaign Pepsi used the three most popular celebrities of the last year i.e Shahrukh Khan, Ranbir Kapoor, Deepika Padukone

Strategies Product strategy:

For Pepsi Cola Ltd, marketing opportunity analysis is a continual and ongoing process. Pepsi have used the newproduct strategy to realise their ambitions to both defend their current market position, and reinstate their position as a product innovator. Pepsi wishes to create a clear cola that is 100% natural,

low in sodium, caffeine-free, and still maintains the flavour of its original cola. They will call it Pepsi Au Naturel. Pepsis hope is to usher in a new era, and to give them a clear-cut advantage over their rivals, Coca-Cola. By following closely the six steps of the new-product development process, the company could expect such benefits as: improved teamwork, less re-working, earlier detection of likely failure, and higher success rates. (Rix, Peter, 2001, Marketing, A Practical Approach).

1. 2. 3. 4. 5. 6.

Generating New-Product Ideas. Screening and Evaluating Ideas. Business Analysis. Prototype Development. Market Tests. Commercialisation.

Pricing strategy
It was few years back when these companies come up with the concept of Chota Pepsi or Coke for that matter. They offered consumers 150 ml of soft-drink for Rs.5. It was well accepted by consumers who were use to drink 300 ml. At this point of time both 150 ml and 300 ml (for Rs. 9) were available in the market.

Then after some time they increased the volume and price of small bottles to 200 ml and Rs. 7, though 300 ml was at same price. These companies discovered a new trend in consumers. They realized that still consumers prefer small bottles. This appeared as a great opportunity for them. Bingo!! The result of this we are seeing now. Finally, these companies are now selling same Chota Pepsi or Small Coke at the price of Bada i.e. Rs. 9. And we without realizing this have happily accepted this. And the price of pet jar i.e. 500 ml has just increased from Rs. 18 to Rs. 20, where as the prices of 1.5 liters and 2 liters have been decreasing or is mostly with some offer like free my can or something. 300 ml bottles have almost vanished from the market now. Hats Off to the pricing strategy of the Cola Companies who have been successfully able to sell 66% of the product at the cost of 100% almost in a phased manner and making consumer habitual and unaware of the increased price.

Swot Analysis Of Pepsi Co.

Strength: Pepsi has a broader product line and outstanding reputation. Merger of Quaker Oats produced synergy across the board.

 Record revenues and increasing market share. Lack of capital constraints (availability of large free cash flow). Great brands, strong distribution, innovative capabilities o Number one maker of snacks, such as corn chips and potato chips PepsiCo sells three products through the same distribution channel. For example, combining the production capabilities of Pepsi, Gatorade and Tropicana is a big opportunity to reduce costs, improve efficiency and smooth out the impact of seasonal fluctuations in demand for particular product. Weakness: Pepsi hard to inspire vision and direction for large global company. Not all PepsiCo products bear the company name PepsiCo is far away from leader Coca-cola in the international market - demand is highly elastic.

Opportunity: Food division should expand internationally Noncarbonated drinks are the fastest-growing part of the industry There are increasing trend toward healthy foods Focus on most important customer trend "Convenience".

Threats: Pepsi is blamed for pesticide residues in their products in one of their most promising emerging market e.g in India Over 50 percent of the company's sales come from Frito-Lay; this is a threat if the market takes a downturn PepsiCo now competes with Cadbury Schweppes, CocaCola, and Kraft foods (because of broader product line) which are well-run and financially sound competitors.

History:
Pepsi has one of the most intriguing histories of any product on the market. From it's humble beginnings the people of Pepsi make the story what it is - including its inventor, customers, competition, corporate managers, salesmen, distributors, cartoon spokes-persons and including some of the biggest names in entertainment history. There have been good times and bad times - plus lots and lots of changes over the years. If you enjoy Pepsi, you'll enjoy the stories of the people who have made it possible. people

Historical Events - 1900

1898

Caleb Bradham, a New Bern, North Carolina pharmacist, renames "Brad's Drink," a carbonated soft drink he's

created to serve his drugstore's fountain customers. The new name, Pepsi-Cola, is first used on August 28.

1902 1903

Bradham applies to the U.S. Patent Office for a trademark for the Pepsi-Cola name. In keeping with its origin as a pharmacist's concoction, Bradham's advertising praises his drink as "Exhilarating, invigorating, aids digestion."

1905

A new logo appears, the first change from the original in 1898. Pepsi-Cola's first bottling franchises are established in Charlotte and Durham, North Carolina.

1906

Pepsi gets another logo change, the third in eight years. The modified script logo is created along with the slogan, "The Original Pure Food Drink."

1907 1909

The Pepsi trademark is registered in Mexico. Automobile racing pioneer Barney Oldfield becomes Pepsi's first celebrity endorser when he appears in newspaper ads describing Pepsi-Cola as "A bully drink refreshing, invigorating, a fine bracer for a race."

1920

Pepsi appeals to consumers with, "Drink Pepsi-Cola. It will satisfy you."

1932
The trademark is registered in Argentina.

1934
Pepsi begins selling a 12-ounce bottle for five cents, the same price charged by its competitors for six ounces.

1938
The trademark is registered in the Soviet Union.

1939
A newspaper cartoon strip, "Pepsi & Pete," introduces the theme "Twice as Much for a Nickel" to increase consumer awareness of Pepsi's value advantage.

1940
Pepsi makes advertising history with the first advertising jingle ever broadcast nationwide. "Nickel, Nickel" will eventually become a hit record and will be translated into 55 languages. A new, more modern logo is adopted.

1941
In support of America's war effort, Pepsi changes the color of its bottle crowns to red, white and blue. A Pepsi canteen in Times Square, New York, operates throughout

the war, enabling more than a million families to record messages for armed services personnel overseas.

1943
The "Twice as Much" advertising strategy expands to include the theme, "Bigger Drink, Better Taste."

1949
"Why take less when Pepsi's best?" is added to "Twice as Much" advertising.

1950
"More Bounce to the Ounce" becomes Pepsi's new theme as changing soft drink economics force Pepsi to raise prices to competitive levels. The logo is again updated.

1953
Americans become more weight conscious, and a new strategy based on Pepsi's lower caloric content is implemented with "The Light Refreshment" campaign.

1954
"The Light Refreshment" evolves to incorporate "Refreshing Without Filling."

1958
Pepsi struggles to enhance its brand image. Sometimes referred to as "the kitchen cola," as a consequence of its long-time positioning as a bargain brand, Pepsi now

identifies itself with young, fashionable consumers with the " Pepsi" theme.

1959
Soviet Premier Nikita Khrushchev and U.S. Vice-President Richard Nixon meet in the soon-to-be-famous "kitchen debate" at an international trade fair. The meeting, over Pepsi, is photo-captioned in the U.S. as "Khrushchev Gets Sociable."

1961
Pepsi further refines its target audience, recognizing the increasing importance of the younger, post-war generation. "Now it's Pepsi, for Those who think Young" defines youth as a state of mind as much as a chronological age, maintaining the brand's appeal to all market segments.

1963
In one of the most significant demographic events in commercial history, the post-war baby boom emerges as a social and marketplace phenomenon. Pepsi recognizes

1964
A new product, Diet Pepsi, is introduced into Pepsi-Cola advertising.

1966
Diet Pepsi's first independent campaign, "Girlwatchers," focuses on the cosmetic benefits of the low-calorie cola.

The "Girlwatchers" musical theme becomes a Top 40 hit. Advertising for another new product, Mountain Dew, a regional brand acquired in 1964, airs for the first time, built around the instantly recognizable tag line, "Ya-Hoo, Mountain Dew!"

1967
When research indicates that consumers place a premium on Pepsi's superior taste when chilled, "Taste that beats the others cold. Pepsi pours it on" emphasizes Pepsi's product superiority.

1969
"You've got a lot to live. Pepsi's got a lot to give" marks a shift in Pepsi Generation advertising strategy.

1973
Pepsi Generation advertising continues to evolve. "Join the Pepsi People, Feelin' Free" captures the mood of a nation involved in massive social and political change. It pictures us the way we are-one people, but many personalities.

1975
The Pepsi Challenge, a landmark marketing strategy, convinces millions of consumers that Pepsi's taste is superior.

1976

"Have a Pepsi Day" is the Pepsi Generation's upbeat reflection of an improving national mood. "Puppies," a 30second snapshot of an encounter between a very small boy and some even smaller dogs, becomes an instant commercial classic.

1979
With the end of the '70s comes the end of a national malaise. Patriotism has been restored by an exuberant celebration of the U.S. bicentennial, and Americans are looking to the future with renewed optimism. "Catch that Pepsi Spirit!" catches the mood and the Pepsi Generation carries it forward into the '80s.

1982
With all the evidence showing that Pepsi's taste is superior, the only question remaining is how to add that message to Pepsi Generation advertising. The answer? "Pepsi's got your Taste for Life!," a triumphant celebration of great times and great taste.

1983
The soft drink market grows more competitive, but for Pepsi drinkers, the battle is won. The time is right and so is their soft drink. It's got to be "Pepsi Now!"

1984
A new generation has emerged-in the United States, around the world and in Pepsi advertising, too. "Pepsi. The Choice of a New Generation" announces the change, and the most popular entertainer of the time, Michael

Jackson, stars in the first two commercials of the new campaign. The two spots quickly become "the most eagerly awaited advertising of all time."

1985
Lionel Richie leads a star-studded parade into "New Generation" advertising followed by pop music icons Tina Turner and Gloria Estefan. Sports heroes Joe Montana and Dan Marino are part of it, as are film and television stars Teri Garr and Billy Crystal. Geraldine Ferraro, the first woman nominated to be vice president of the U.S., stars in a Diet Pepsi spot. And the irrepressible Michael J. Fox brings a special talent, style and spirit to a series of Pepsi and Diet Pepsi commercials, including a classic, "Apartment 10G."

1987
After an absence of 27 years, Pepsi returns to Times Square, New York, with a spectacular 850-square foot electronic display billboard declaring Pepsi to be "America's Choice."

1988
Michael Jackson returns to "New Generation" advertising to star in a four-part "episodic" commercial named "Chase." "Chase" airs during the Grammy Awards program and is immediately hailed by the media as "the most-watched commercial in advertising history."

1989

"The Choice of a New Generation" theme expands to categorize Pepsi users as "A Generation Ahead!"

1990
Music legend Ray Charles stars in a new Diet Pepsi campaign, "You got the right one baby."

1991
"You got the Right one Baby" is modified to "You got the Right one Baby, Uh-Huh!" The "Uh-Huh Girls" join Ray Charles as back-up singers and a campaign soon to become the most popular advertising in America is on its way.

1992
Celebrities join consumers, declaring that they "Gotta Have It."

1993
"Be Young, Have fun, Drink Pepsi" advertising starring basketball superstar Shaquille O'Neal is rated as best in U.S.

1994
New advertising introducing Diet Pepsi's freshness dating initiative features Pepsi CEO Craig Weatherup explaining the relationship between freshness and superior taste to consumers.

1995

In a new campaign, the company declares "Nothing else is a Pepsi" and takes top honors in the year's national advertising championship.

1996
In February of this year, Pepsi makes history once again, by launching one of the most ambitious entertainment sites on the World Wide Web.

1997
In the early part of the year, Pepsi pushes into a new era with the unveiling of the GeneratioNext campaign. GeneratioNext is about everything that is young and fresh; a celebration of the creative spirit.

1998
Pepsi celebrates its 100th anniversary.

List of pepsi product:

1.

frito lay -Tostitos, Doritos, Lays Chips, and Flat Earth Snacks.

2.

tropicana juice-flavoured fruiet juices

3.

Gatorade-G2, and Propel Fit Water.

4.

quaker brand-Life, Puffed Wheat, Harvet Crunch, King Vitamin, Quaker Oh's!

5.

softdrinks-Diet Pepsi, Pepsi Max, Mountain Dew, Diet Mountain Dew

Thank you

Indian Soft Drink Market

the major portion is covered by carbonated drink as like pepsi coca cola etc.i,e 85% and the small part is covered by non carbonated drink like juices .i/e 15%

Carbonated Non Carbonated

Brand Image of Pepsi

1.Pepsi is a brand that every youngster relates to. 2.But this definitely doesnt mean that other age groups are not its users. 3.Thus Pepsis brand image is its hip, cool, lively and refreshing attitude.

Advertising strategy of pepsi

1. Pepsis target audience are mostly teens and young
adults and their advertising reflects this in every possible way.

2. The company changes its advertising strategy and

image to reflect the target's interests.

3.

Pepsi makes sure that the advertisements reflect to the target audiences interests and nostalgia.

4. The advertising strategy includes cool, hip promos to

attract more of the target audience.

5. The advertising is mostly creative and has different

elements like music and sports other than bollywood.

6. Pepsi.com also plays an important role in advertising

and attracts target audience by giving access to options like downloads, gaming, music mixing applications etc..

Segmenting pattern

Demographics: The Campaign targets teens and young adults of metros and phase II cities. Psychographics: The campaign attempts to capture the youth of today by focusing on their personality lifestyle and attitude of youth through the advertisement

Targeting Strategy
The Youngistaan Campaign uses undifferentiated targeting strategy to reach out to its target audience. That is it launched youngistaan campaign for all the target audience in the same way