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    Ruralmarketing

    of

    Pepsi

    SUBMITTED TO : PROF

    SUSHMITA MUKHERJI.

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    *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 .

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    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

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    IntroDUCTION:

    In 1893, Caleb Bradham, a young pharmacistfrom New Bern, North Carolina, begins

    experimenting with many different soft drinkconcoctions. Like many pharmacists at the

    turn of the century he had a soda fountain inhis 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 carbonatedwater, 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 thepepsin and cola nuts used in the recipe. In

    1898, Caleb Bradham wisely bought thetrade name "Pep Cola" for $100 from a

    competitor from Newark, New Jersey thathad gone broke. The new name was

    trademarked on June 16th, 1903. Bradham'sneighbor, an artist designed the first Pepsilogo and ninety-seven shares of stock for

    Bradham's new company were issued.

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    Pepsi-Cola of Madison distributes Pepsiproducts to the greater Madison area. ThePepsi-Cola Company was founded in New

    Bern, North Carolina in 1898. The local Pepsi-Cola of Madison franchise was owned by

    Fauerbach Brewery in the 1950s, when RayMalquist purchased it and grew the Pepsi-Cola business to its position as the numberone soft drink company in the area. It is a

    privately held company that hasapproximately 200 employees at the Windsorlocation and distributes about 130 different

    Pepsi-cola products to the greater Madisonarea. Soft drinks giants Coca-Cola and Pepsihave signed on thousands of new retailers in

    a drive into rural India [ Images ] that haspushed up sales steeply.Coca-Cola has madeits beverages available in 40,000 additionalvillages in the last three years.As a result,

    the rural areas now contribute 35 per cent of

    the company's sales compared with 25 percent in 2000.

    THE CHANGE OF LOGOS AND SLOGANS:

    http://search.rediff.com/imgsrch/default.php?MT=indiahttp://search.rediff.com/imgsrch/default.php?MT=india
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    The new name, Pepsi-Cola, was first used on August 28.The Pepsi logo is a simple globe with the Pepsi colors inthe 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 slogansthrough 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 byJoanie 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 andThe Jacksons,featuring Pepsi version ofBillie Jean)

    19861987: "We've Got The Taste" (commercial withTina Turner)

    http://en.wikipedia.org/wiki/Joanie_Sommershttp://en.wikipedia.org/wiki/Pepsi_Generationhttp://en.wikipedia.org/wiki/Pepsi_Generationhttp://en.wikipedia.org/wiki/Michael_Jacksonhttp://en.wikipedia.org/wiki/The_Jacksonshttp://en.wikipedia.org/wiki/Billie_Jeanhttp://en.wikipedia.org/wiki/Tina_Turnerhttp://en.wikipedia.org/wiki/Joanie_Sommershttp://en.wikipedia.org/wiki/Pepsi_Generationhttp://en.wikipedia.org/wiki/Pepsi_Generationhttp://en.wikipedia.org/wiki/Michael_Jacksonhttp://en.wikipedia.org/wiki/The_Jacksonshttp://en.wikipedia.org/wiki/Billie_Jeanhttp://en.wikipedia.org/wiki/Tina_Turner
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    19871990: "Pepsi's Cool" (commercial with MichaelJackson, featuring Pepsi version ofBad)

    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 UHHUH") (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 inIndia/Pakistan/Sri Lanka)

    19971998: "Generation Next" - with the Spice Girls.

    19981999: "It's the cola" (100th anniversarycommercial)

    19992000: "For Those Who Think Young"/"The Joy ofPepsi-Cola" (commercial with BritneySpears/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

    http://en.wikipedia.org/wiki/Bad_(Michael_Jackson_song)http://en.wikipedia.org/wiki/Hindihttp://en.wikipedia.org/wiki/Van_Halenhttp://en.wikipedia.org/wiki/Pepsi_Stuffhttp://en.wikipedia.org/wiki/Spice_Girlshttp://en.wikipedia.org/wiki/Britney_Spearshttp://en.wikipedia.org/wiki/Britney_Spearshttp://en.wikipedia.org/wiki/Mary_J._Bligehttp://en.wikipedia.org/wiki/Hindihttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Mary_J._Bligehttp://en.wikipedia.org/wiki/Mary_J._Bligehttp://en.wikipedia.org/wiki/Bad_(Michael_Jackson_song)http://en.wikipedia.org/wiki/Hindihttp://en.wikipedia.org/wiki/Van_Halenhttp://en.wikipedia.org/wiki/Pepsi_Stuffhttp://en.wikipedia.org/wiki/Spice_Girlshttp://en.wikipedia.org/wiki/Britney_Spearshttp://en.wikipedia.org/wiki/Britney_Spearshttp://en.wikipedia.org/wiki/Mary_J._Bligehttp://en.wikipedia.org/wiki/Hindihttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Mary_J._Bligehttp://en.wikipedia.org/wiki/Mary_J._Blige
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    20072008: "More Happy"/"Taste the once that'sforever young" (Michael Alexander)

    2008: "Pepsi Stuff" Super Bowl Commercial (JustinTimberlake)

    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 inthe rural market by using strategies which differs fromthat of urban market, the rural market is more pricesensitive but it has preference for quality. For rural

    market, it will be ideal to think of strategies from themarketing mix point of view, main strategies are relatedto product, price, place and promotion which aredescribed as follows.

    Pepsi rural marketing:

    Pepsi company India has entered into rural market byhaving joint programme with the Punjab agricultureuniversity in ludhiana and Punjab agro industriescorporation in chandigarh. The programme focuses onevolving agricultural practices to help Punjab farmersproduce crops that would make Indian products

    http://en.wikipedia.org/wiki/Hindihttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Hindihttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/India
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    internationally competitive. To cultivate a range of sweetoranges for its Tropicana range.

    Apart from that, they have given advertisement to attract

    the rural people with the celebrity of Amitabh bachchanand star cricketer sachin tendulkar.

    Positioning:

    The campaign positioning is done on the basis ofuser approach i.e a personality based approachwhere a users image or association rubs off on the

    brand image. The user could be a celebrity or anordinary 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 new-product 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,

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    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. Generating New-Product Ideas.

    2. Screening and Evaluating Ideas.

    3. Business Analysis.

    4. Prototype Development.

    5. Market Tests.

    6. Commercialisation.

    Pricing strategy

    It was few years back when these companies come upwith the concept of Chota Pepsi or Coke for that

    matter. They offered consumers 150 ml of soft-drink forRs.5. It was well accepted by consumers who were use todrink 300 ml. At this point of time both 150 ml and 300ml (for Rs. 9) were available in the market.

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    Then after some time they increased the volume andprice of small bottles to 200 ml and Rs. 7, though 300 mlwas at same price. These companies discovered a newtrend in consumers. They realized that still consumers

    prefer small bottles. This appeared as a great opportunityfor them. Bingo!! The result of this we are seeing now.

    Finally, these companies are now selling same ChotaPepsi 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 increasedfrom Rs. 18 to Rs. 20, where as the prices of 1.5 liters and

    2 liters have been decreasing or is mostly with some offerlike free my can or something. 300 ml bottles havealmost vanished from the market now.

    Hats Off to the pricing strategy of the Cola Companieswho have been successfully able to sell 66% of theproduct at the cost of 100% almost in a phased mannerand making consumer habitual and unaware of theincreased price.

    Swot Analysis Of Pepsi Co.

    Strength:

    Pepsi has a broader product line and outstandingreputation. Merger of Quaker Oats produced synergy across theboard.

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    Record revenues and increasing market share. Lack of capital constraints (availability of large freecash flow).Great brands, strong distribution, innovative capabilities

    o Number one maker of snacks, such as corn chips andpotato chips PepsiCo sells three products through the samedistribution channel.For example, combining the production capabilities ofPepsi, Gatorade and Tropicana is a big opportunity toreduce costs, improve efficiency and smooth out the

    impact of seasonal fluctuations in demand for particularproduct.

    Weakness:

    Pepsi hard to inspire vision and direction for largeglobal company. Not all PepsiCo products bear the company name

    PepsiCo is far away from leader Coca-cola in theinternational market - demand is highly elastic.

    Opportunity:

    Food division should expand internationally

    Noncarbonated drinks are the fastest-growing part ofthe industry There are increasing trend toward healthy foods Focus on most important customer trend -"Convenience".

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    Threats:

    Pepsi is blamed for pesticide residues in their productsin one of their most promising emerging market e.g inIndia Over 50 percent of the company's sales come fromFrito-Lay; this is a threat if the market takes a downturn PepsiCo now competes with Cadbury Schweppes, Coca-Cola, 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 anyproduct on the market. From it's humble beginnings thepeople of Pepsi make the story what it is - including itsinventor, customers, competition, corporate managers,

    salesmen, distributors, cartoon spokes-persons andincluding some of the biggest names in entertainmenthistory. There have been good times and bad times - pluslots and lots of changes over the years. If you enjoyPepsi, you'll enjoy the stories of the people who havemade it possible. people

    Historical Events - 1900

    1898Caleb Bradham, a New Bern, North Carolina pharmacist,renames "Brad's Drink," a carbonated soft drink he's

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

    1902Bradham applies to the U.S. Patent Office for a trademarkfor the Pepsi-Cola name.

    1903In keeping with its origin as a pharmacist's concoction,Bradham's advertising praises his drink as "Exhilarating,invigorating, aids digestion."

    1905A new logo appears, the first change from the original in1898. Pepsi-Cola's first bottling franchises are establishedin Charlotte and Durham, North Carolina.

    1906Pepsi gets another logo change, the third in eight years.

    The modified script logo is created along with the slogan,

    "The Original Pure Food Drink."

    1907The Pepsi trademark is registered in Mexico.

    1909Automobile racing pioneer Barney Oldfield becomesPepsi's first celebrity endorser when he appears innewspaper ads describing Pepsi-Cola as "A bully drink -refreshing, invigorating, a fine bracer for a race."

    1920

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

    1932

    The trademark is registered in Argentina.

    1934

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

    1938The trademark is registered in the Soviet Union.

    1939

    A newspaper cartoon strip, "Pepsi & Pete," introduces thetheme "Twice as Much for a Nickel" to increase consumerawareness of Pepsi's value advantage.

    1940

    Pepsi makes advertising history with the first advertisingjingle ever broadcast nationwide. "Nickel, Nickel" willeventually become a hit record and will be translated into55 languages. A new, more modern logo is adopted.

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

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

    1943

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

    1949

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

    1950

    "More Bounce to the Ounce" becomes Pepsi's new themeas changing soft drink economics force Pepsi to raiseprices to competitive levels. The logo is again updated.

    1953

    Americans become more weight conscious, and a newstrategy based on Pepsi's lower caloric content isimplemented with "The Light Refreshment" campaign.

    1954

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

    1958

    Pepsi struggles to enhance its brand image. Sometimesreferred to as "the kitchen cola," as a consequence of itslong-time positioning as a bargain brand, Pepsi now

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

    1959

    Soviet Premier Nikita Khrushchev and U.S. Vice-PresidentRichard Nixon meet in the soon-to-be-famous "kitchendebate" at an international trade fair. The meeting, overPepsi, is photo-captioned in the U.S. as "Khrushchev GetsSociable."

    1961

    Pepsi further refines its target audience, recognizing theincreasing importance of the younger, post-wargeneration. "Now it's Pepsi, for Those who think Young"defines youth as a state of mind as much as achronological age, maintaining the brand's appeal to allmarket segments.

    1963In one of the most significant demographic events incommercial history, the post-war baby boom emerges asa 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.

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    The "Girlwatchers" musical theme becomes a Top 40 hit.Advertising for another new product, Mountain Dew, aregional 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 apremium on Pepsi's superior taste when chilled, "Tastethat beats the others cold. Pepsi pours it on" emphasizesPepsi's product superiority.

    1969

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

    1973

    Pepsi Generation advertising continues to evolve. "Jointhe Pepsi People, Feelin' Free" captures the mood of anation involved in massive social and political change. Itpictures us the way we are-one people, but manypersonalities.

    1975

    The Pepsi Challenge, a landmark marketing strategy,

    convinces millions of consumers that Pepsi's taste issuperior.

    1976

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    "Have a Pepsi Day" is the Pepsi Generation's upbeatreflection of an improving national mood. "Puppies," a 30-second snapshot of an encounter between a very smallboy and some even smaller dogs, becomes an instant

    commercial classic.

    1979

    With the end of the '70s comes the end of a nationalmalaise. Patriotism has been restored by an exuberantcelebration of the U.S. bicentennial, and Americans arelooking to the future with renewed optimism. "Catch that

    Pepsi Spirit!" catches the mood and the Pepsi Generationcarries it forward into the '80s.

    1982

    With all the evidence showing that Pepsi's taste issuperior, the only question remaining is how to add thatmessage to Pepsi Generation advertising. The answer?

    "Pepsi's got your Taste for Life!," a triumphantcelebration of great times and great taste.

    1983

    The soft drink market grows more competitive, but forPepsi drinkers, the battle is won. The time is right and sois 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

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    Jackson, stars in the first two commercials of the newcampaign. The two spots quickly become "the mosteagerly awaited advertising of all time."

    1985Lionel Richie leads a star-studded parade into "NewGeneration" advertising followed by pop music icons Tina

    Turner and Gloria Estefan. Sports heroes Joe Montana andDan Marino are part of it, as are film and television stars

    Teri Garr and Billy Crystal. Geraldine Ferraro, the firstwoman nominated to be vice president of the U.S., stars

    in a Diet Pepsi spot. And the irrepressible Michael J. Foxbrings a special talent, style and spirit to a series of Pepsiand 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 footelectronic display billboard declaring Pepsi to be"America's Choice."

    1988

    Michael Jackson returns to "New Generation" advertisingto star in a four-part "episodic" commercial named"Chase." "Chase" airs during the Grammy

    Awards program and is immediately hailed bythe media as "the most-watched commercial inadvertising history."

    1989

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

    1990

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

    1991

    "You got the Right one Baby" is modified to "You got theRight one Baby, Uh-Huh!" The "Uh-Huh Girls" join Ray

    Charles as back-up singers and a campaign soon tobecome the most popular advertising in America is on itsway.

    1992

    Celebrities join consumers, declaring that they "GottaHave It."

    1993

    "Be Young, Have fun, Drink Pepsi" advertising starringbasketball superstar Shaquille O'Neal is rated as best inU.S.

    1994

    New advertising introducing Diet Pepsi's freshness datinginitiative features Pepsi CEO Craig Weatherup explainingthe relationship between freshness and superior taste toconsumers.

    1995

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    In a new campaign, the company declares "Nothing elseis a Pepsi" and takes top honors in the year's nationaladvertising championship.

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

    1997

    In the early part of the year, Pepsi pushes into a new erawith the unveiling of the GeneratioNext campaign.GeneratioNext is about everything that is young andfresh; 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 EarthSnacks.

    2. tropicana juice -flavoured fruiet juices

    3. Gatorade- G2, and Propel Fit Water.

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    4. quaker brand -Life, Puffed Wheat, Harvet Crunch, KingVitamin, Quaker Oh's!

    5. softdrinks -Diet Pepsi, Pepsi Max, Mountain Dew, DietMountain Dew

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    Thankyou

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    Indian Soft Drink Market

    the major portion is covered by carbonateddrink as like pepsi coca cola etc.i,e 85%

    and the small part is covered by noncarbonated drink like juices .i/e 15%

    Carbonated

    Non

    Carbonated

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    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, livelyand refreshing attitude.

    Advertising strategy of pepsi

    1.Pepsis target audience are mostly teens and youngadults and their advertising reflects this in every

    possible way.

    2.The company changes its advertising strategy andimage to reflect the target's interests.

    3. Pepsi makes sure that the advertisements reflectto the target audiences interests and nostalgia.

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    4.The advertising strategy includes cool, hip promos to

    attract more of the target audience.

    5.The advertising is mostly creative and has differentelements 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

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