CASE STUDY CASE STUDY OFOF

The Coke and Pepsi The Coke and Pepsi Presented by:Presented by:

GULAB SHARMAGULAB SHARMA

ABHISEK,VISHAL,ANKESH,AABHISEK,VISHAL,ANKESH,ANKIT,NIMISH,TEKWANI,SANKIT,NIMISH,TEKWANI,SANJAY,RAHULNJAY,RAHUL

Indian Cola MarketIndian Cola Market

Coke had entered in 1970s but exit Coke had entered in 1970s but exit due to Govt. policies.due to Govt. policies.

Pepsi entered in 1991.Pepsi entered in 1991.Coke re-entered in 1993-merged with Coke re-entered in 1993-merged with

Parle which has 60% market Parle which has 60% market share(with thumps up,limka like share(with thumps up,limka like brand).brand).

Pepsi leads because it targeted YouthPepsi leads because it targeted Youth

Advertising strategiesAdvertising strategies

Both formulated their Both formulated their advertising plan on the advertising plan on the basis of insiders they put basis of insiders they put inside the offices of each inside the offices of each other.other.

INITIALLY-INITIALLY- - - PEPSIPEPSI relied on relied on

advertisements featuring advertisements featuring film stars, pop stars and film stars, pop stars and cricket players. cricket players.

--COKE COKE focused on Indian focused on Indian culture and music.culture and music.

Controversy of Pesticides.Controversy of Pesticides.

Spoof AdvertisingSpoof Advertising

Against Coke’s ‘EAT-SLEEP-DRINK’, Pepsi Against Coke’s ‘EAT-SLEEP-DRINK’, Pepsi made an ad opposite to itmade an ad opposite to it

To counter this, Coke made a print ad in To counter this, Coke made a print ad in which it shows ‘chalo kha liya’..which it shows ‘chalo kha liya’..

Another Coke ad showed 2 apes, copying Another Coke ad showed 2 apes, copying Pepsi’s Azhar and Jadeja with the time ‘ Pepsi’s Azhar and Jadeja with the time ‘ don’t be a bunder’, taste the thunder.don’t be a bunder’, taste the thunder.

Coke launched Sprite and made an ad Coke launched Sprite and made an ad ‘baki all bakwaas’ which clearly ‘baki all bakwaas’ which clearly targeted Pepsi.targeted Pepsi.

Against Pepsi’s ‘ Sachin ala re’, Coke Against Pepsi’s ‘ Sachin ala re’, Coke responded with the song ‘Coke ala re’. responded with the song ‘Coke ala re’. Pepsi moved to AAAI against Coke.Pepsi moved to AAAI against Coke.

Coke aala reSachin aala re

Endorsement of celebrities and Endorsement of celebrities and cricketers were at peakcricketers were at peak

Cola wars apart from Cola wars apart from AdvertisingAdvertising

Espionage in each other’s offices.Espionage in each other’s offices. Pepsi filed a petition against Coke alleging Pepsi filed a petition against Coke alleging

that Coke had ‘entered into conspiracy’ to that Coke had ‘entered into conspiracy’ to disrupt its business operations.disrupt its business operations.

Recruiting of employees at higher rates by Recruiting of employees at higher rates by Coke.Coke.

‘‘Pressure of breaking contracts’ by Coke.Pressure of breaking contracts’ by Coke. Frequent complaints from both the players Frequent complaints from both the players

about their bottlers and retailers being about their bottlers and retailers being hijacked.hijacked.

Painting of rival outlets overnight.Painting of rival outlets overnight.

Future of Cola warsFuture of Cola wars

Companies will concentrate more on Companies will concentrate more on Advertising.Advertising.

Events and exhibitions will be on high.Events and exhibitions will be on high.Companies would take unethical steps Companies would take unethical steps

in future.in future.Pricing strategies will be reconsidered.Pricing strategies will be reconsidered.Companies may widen their portfolio Companies may widen their portfolio

to capture mass market.to capture mass market.

Other fronts of RivalryOther fronts of Rivalry

Till the late 1980s, the standard SKU for soft Till the late 1980s, the standard SKU for soft drink was 200 ml.drink was 200 ml.

Around 1989, Pepsi launched 250 ml bottlesAround 1989, Pepsi launched 250 ml bottles When Coke re-entered India in 1993, it introduced When Coke re-entered India in 1993, it introduced

300 ml as the smallest bottle size.300 ml as the smallest bottle size. Soon Pepsi followed this.Soon Pepsi followed this. But around 1996, the excise component led to an But around 1996, the excise component led to an

increase in prices & a single 300 ml purchase increase in prices & a single 300 ml purchase became expensive.became expensive.

Ethical issuesEthical issues

Espionage against each other’s offices.Espionage against each other’s offices.Making fun of cricketers by Coke.Making fun of cricketers by Coke.Coke used punchline of Pepsi ‘yeh dil Coke used punchline of Pepsi ‘yeh dil

maange more’.maange more’.Shiftment of employees from Pepsi to Shiftment of employees from Pepsi to

Coke.Coke.Hijacking bottlers and retailers.Hijacking bottlers and retailers.Painting of retail outlets of each Painting of retail outlets of each

other’s overnight.other’s overnight.

QUESTIONQUESTION

IS THIS RIVALRY BENEFICIAL FOR IS THIS RIVALRY BENEFICIAL FOR CUSTOMER ?CUSTOMER ?

Thank YouThank You