STUDY OF PEPSI ‘S BEVERAGE INDUSTRY IN INDIA

SUBMITTED TO:- Prof A.N.BHATTACHARYA

1.ANKUR PANDEY

2.V. SATYA DEEPAK

3.DEEPALI SRIVASTAVA

4.AGAM GUPTA

5.MOHIT KAPOOR

CONTENTS

Introduction Current position Pepsi & its

segments STP Marketing mix &

4p’s SWOT analysis Problems Alternate solutions

INTRODUCTION

Pepsi is a carbonated soft drink produced

and manufactured by PepsiCo. The drink was

first made in the 1890s by pharmacist Caleb

Bradham in New Bern, North Carolina. The brand

was trademarked on June 16, 1903. There have

been many Pepsi variants produced over the

years since 1898.

In 1903, Bradham moved the

bottling of Pepsi-Cola from his

drugstore to a rented warehouse. That

year, Bradham sold 7,968 gallons of

syrup. The next year, Pepsi was sold in

six-ounce bottles, and sales increased

to 19,848 gallons. In 1926, Pepsi

received its first logo redesign since the

original design of 1905.

Current PositionPepsiCo is the second largest food and beverage

company in the world. It manufactures markets and sells a variety of salty, sweet and grain-based snacks, carbonated and non-carbonated beverages PepsiCo seeks to achieve growth and long-term value in its operational activities by creating competitive advantages through new product innovation

In 2006, PepsiCo acquired Izze Beverage Company Naked Juice and Stacys Pita Chip Company in the US, Star Foods in Poland, and Bluebird Foods in New Zealand. It has expanded its presence in the non carbonated drinks as well as snacks

The company’s volume grew by 5.5% in 2006 compared with 2005 In 2007, the company plans to expand its market share through further acquisition and joint ventures.

In 2009, company has its revenue upto 43.2 Billion US$ and its net income was 8.04 Billion US$.

PEPSI & ITS INDUSTRIES

FOOD SEGMENT Aliva Kurkure Frito lays cheetos

BEVERAGE SEGMENT Pepsi Mirinda 7up Pepsi maxx Aquafina Slice Nimbooz tropicana

BEVERAGE PRODUCTS OF PEPSI CO.

1.PEPSI 3.MIRINDA 5.7UP2.SLICE 4.AQUAFINA MINERAL WATER

SEGMENTATION,TARGETING &POSITIONING

SEGMENTATION,TAGRETING &POSITIONING (contd…)

Basing upon the demographic & geographic needs

AGE GENDER TASTE & PREFERENCES BEHAVIOURIAL

Targeting the market of the urban & rural India

Positioning & trying to create an image or identity in the minds of their target market for its product or brand or organization.

THE MARKETING MIX-4 P’S WITH SPECIALREFERENCE TO PEPSI:

4P’s IN DETAIL

Product All the soft drinks & the food

products in the industry

Price The price of the products with

respect to the Indian scenario

Place The urban & rural markets

where the products have to be marketed

Promotion The effective use of ads for

boosting up the sales

SWOT Analysis of PepsiCo.

Strengths Company Image

Quality Conscious

Good Relation with Franchise

Market Share

Large No. of diversity businesses

Sponsorships

Weaknesses Decline in taste

litical Franchises

Short term Approach

Weak Distribution

Low Consumer Knowledge

Financial Downfall

13,591 13,796 13,219

5,000

7,000

9,000

11,000

13,000

15,000

2007 2008 2009

Net Revenue (Comparative)in

Million

US

$

Years

Opportunities Increase Population

Changing Social Trend

Diversification

Distribution of Snack Foods

Threats Imitators

Government Regulation

Non-Carbonated and other Competitor’s Substitutes

PROBLEMS

Lack of efficiency in distribution network in some product lines. For e.g. My can and Aliva.

Lack of emphasis on the brand value in advertisements. For e.g. Aliva and Kurkure.

Lack of efficiency in product market survey before the launch of products. For e.g. Pepsi blue and Kurkure desi beats.

The target market is youth and the taste is not in relation with the taste of target market(Pepsi is too sweet)

RECOMMENDATIONS

Promotion of their products through Effecting Marketing and

Advertising strategies.

Improving production efficiencies through optimal

outsourcing of production and integration.

Produce a range of Healthy, i.e. Sugar free or diet

Alternatives of different products.

The products should bear the brand name in the

advertisements

A better & an efficient survey network is to be established in

order to penetrate the market

THANK YOUTHANK YOU