PRESENTATION FOR THE

ESSENTIAL OF MARKETING
MANAGEMENT

Made By: M.ARSALAN

B.B.A.:
 The story of Pepsi originates from a drug
store in North Carolina (U.S) which
belonged to a young man named as
Dook Braydham.

 Dook invented syrup which customer’s

names as Braydh.
 In 1898 Braydham officially registered
his syrup with the name of Pepsi cola.

 Gradually the sales of Pepsi cola began

to pick up.

 In 1903 Pepsi was registered as a brand

name in U.S.A.
 In Pakistan Pepsi was introduced in 1979, in the beginning Pepsi did
face a lot of problem because at that time coca cola had 72% market
share.

However in 1980 Pepsi was offered as a franchise

agreement with the coca cola company, which they did accept and
thereafter it came to be known as Pepsi Cola.
TO CONTINUE BEING
THE MARKET
LEADER IN THE
BEVERAGE FIELD
• The objective that the Pepsi company wishes to achieve
is that it wants to remain and continue to be the best or
number one beverage company in Pakistan.

• As Pepsi is already the number one beverage company

in Pakistan but it has to maintain its position, power and
status and in order to achieve their target constant
dedication and hard work is required.
 • As far as the company is concerned and they are
satisfies with their progress and they wish to expand their
market share from 72% to 100% driving all their
competitors out of the business.
• The products produced by the Pakistan Beverage Ltd.
Comprises of a range of incredibly taste appealing
drinks. This company produces drinks conjugating four
flavors.
• FLAVOURS DRINKS
• COLA PEPSI-COLA
• LEMON 7-UP
• ORANGE MIRINDA
• LIME TEAM
 MOUNTAIN DEW is another product, which is a
promotion of a mixed flavor soft drink that typically
involves the lemon and the orange flavor.

 The product line extension of Pepsi also include

TROPICANA which has introduced few months before in
Pakistan having a flavor of mango, it is a product called
SLICE which is innovated in a form of TROPICANA.
• Pepsi has adopted market penetration pricing strategy at
that time when it was introduce, coca cola has covered
a large market in Pakistan.

• But now the prices of Pepsi is almost same as of its

competitor that is coca cola.
• SIZES PRICES
• Pepsi Regular Rs12
• Pepsi(Pet Bottle)5ooml Rs20
• Pepsi 1Ltr Rs25
• Pepsi 1.5Ltr Rs40
• Pepsi Jumbo2.25Ltr Rs55
• The distribution system of Pepsi cola company is
organized as follows:
• Firstly there are branches in every city of Pakistan, The
branch in Karachi is headed by a sales manager then
there is a sales executive who is also known as
Territory Development Manager (TDM) who is
responsible about the trucks, then further down is the
sales officer who has a wide authority and then there is a
sales supervisor who look after the trucks and finally
salesman.
• Each sales manager handles 60 trucks.
• There is also another form of distribution of Pepsi which
is through agencies formed in almost every large area of
Karachi.

• The trucks from the company supplies products to these

agencies and then further the agents supplies it to every
possible retailer.
• Pepsi cola company has promoted its product by every
means of promotion. Like for example through electronic
media (television, radio, internet), through print media,
through bill boards etc
• The Pepsi have also signed some agreements with
some very strong and expanded retailers.
• These exclusive agreements are signed with Pizza Hut
and KFC, So whichever outlet of Pizza Hut or KFC you
approach you will only find pepsi products (and not its
competitors).
• Pepsi cola has also signed this agreement with the
cafeteria retailer of IoBM (Institute Of Buisness
Management).
• These agreements are usually based on the incentives
that Pepsi offers to these retailers, for instance fast and
efficient service or by providing Just-In-Time stock
ordering facilities.
• Pepsi has continued using product endorsement
by using TV actors/models and cricketers, and other
famous celebrities in order to promote their products.
• Pepsi the largest beverage company in Pakistan with
72% market share. It has not been an easier pathway for
Pepsi to gain nearly 3/4th of our country’s market share in
less time compare to its biggest competitors Coca Cola
Limited.

• They have tried to harm Pepsi in some ways or the

other.

• In 1994, Coke reduced the prices to Rs5 and Pepsi has

to reduce their prices in order to compete.
• In doing this, both the companies had to bear huge
losses.

• Coke had a loss of 9 million whereas Pepsi the main

sufferer bearing a loss of 14 million.

• This price war was reduced when Coca-Cola agreed not

to go on price competition ever again.
• Pepsi’s market share
is 72%

• Coca Cola’s market

share is 28%
• Boston matrix is four-cell
matrix, as shown in the
figure.
• This matrix compares
various business products in
an organizations portfolio, On
the basis of relative market
share and market growth rate
• Question mark: -
this represents
condition as low
market share and
high growth rate.
Basically this tells us
about the newly
launched product,
which is Mountain
dew.
• Stars: - this
represents high market
share and high growth
rate .the product which
has high demand that
is Pepsi but it has high
growth rate, because
this product is
advertised a lot due to
close competitors.
• Cash cows: - this
represents high market
share and low growth
rate .the product, which
is demanded but not,
has to be advertised a
lot. This gains profits to
firm. 7-up and Miranda
comes under this
situation.
• Dogs: -this
represents the
situation with low
market share and low
growth rate because of
more competitors of
similar product in the
market. Slice comes
under this situation.
• Pakistan beverages have scored full marks as far as
their corporate social responsibility is concerned. They
take active interest in activities concerning the social
issues. Some of the elements that prove this fact are
listed below.
 THE SCHOLARSHIP PLAN OF 1991-1993:
• In 1991, Pepsi gave a thousand scholarships to students
from class five to master’s level. However this project
didn’t last long because of some political issues and had
to end in 1993.
• Still it benefited students of all levels of education.
 The Allahwala Chowrangi Project:
• Pepsi participated actively in the Karachi Beautification
Scheme. They undertook a project that cost them over
Rs.3 Million. This was the Allahwala Chowrangi project.
• Pepsi handled many other projects as well. Soon after
the Allahwala Chowrangi, it undertook a project worth of
Rs.5 Million to build a triangular part opposite Park
Towers. Another project was that of developing the area
near the entry point of the Airport. Pepsi decided to
develop and beautify this area by building two structures
holding the globes of Pepsi.
• As far as personal opinion is concerned I
would initially recommend that the
ingredients of Pepsi as a product should
be altered such that it should give a
stronger taste.
• This point is bit more stressed since its
immediate competitor is taking a due
advantage because of Pepsi’s sweeter
taste.
• Moreover Pepsi should start creating awareness about
the duplication of its product these days.

• There are several companies producing duplicated

Pepsi and people are not aware about it.

• If they try to get hold of the duplicated product then this

can ruin image of Pepsi in eyes of the consumers. The
Pepsi will lose their consumers if they do not start
working on this as soon as possible.