Professional Documents
Culture Documents
Pepsi Cola Brand Architecture
Pepsi Cola Brand Architecture
Brand Equity
Analysis of brand recognition study Natasha kashni says that The beverage
industry has been rapidly expanding over the last century, and currently includes
avariety of smaller beverage markets. Functional Beverages have been the
newest addition to the beverage industry and Function Drinks is only one of the
major companies operating in this market segment. The objective of this study
is to assess the current level of brand recognition for Function Drinks among
college consumers.
The main focus behind this research is to assist the company increase the level
of consumers brand identification for their company and products through
various forms of marketing, advertising, and promotional strategies. It is in the
best interest of the company to analyze the data collected and offer insight that
will not only increase the level of brand identification, but inadvertently
Increase the profitability of their company.
The differental effect of celebrity and expert endorsement on on consumer risk
perception This article focuses on the effects of celebrity and expert
endorsements on the perception of risk on the part of consumers. It is theorized
that expert endorsers will have a stronger effect than celebrity endorsers in
reducing a consumer's sense of risk regarding high technology-oriented items.
An interaction effect between the type of endorser and consumer knowledge on
risk perception is expected. This interaction is thought to be absent for products
with a low-technology orientation. Two studies demonstrate these findings. In a
third study, a stronger effect of expert over celebrity endorsers for high
technology-oriented products is somewhat neutralized for certain types of
perceived risks when there is a strong connection between the celebrity endorser
and the product.
Study on Impact of Celebrity Endorsements on Brand Image byDebiprasad
Mukherjee
of the most popular tools of advertising in recent time. It has become a trend
and perceived as a winning formula for product marketing and brand building.
It is easy to choose a celebrity but it is tough to establish a strong association
between the product and the endorser. While the magnitude of the impact of
celebrity endorsement remains under the purview of gray spectacles, this paper
is an effort to analyze the impact of celebrity endorsements on brands.
Objective of this article is to examine the relationship between celebrity
endorsements and brands, and the impact of celebrity endorsement on
consumer's buying behavior as well as how consumer makes brand preferences.
This paper proposes a 20 point model which can be used as blue-print criteria
and can be used by brand managers for selecting celebrities and capitalizing the
celebrity resource through 360 degree brand communication which, according
to this paper, is the foundation of the impact of celebrity endorsement. Celebrity
endorsement is always a two-edged sword and it has a number of positives - if
properly matched it can do wonders for the company, and if not it may produce
a bad image of the company and its brand.
degrees
of
celebrity--product
incongruence
influence
the
Pepsi's CRM campaigns in Spain; Factor that would make CRM campaigns lead
to adverse effects.
Simon, Carol J.Sullivan, Mary W. in their research paper of The measurement
and determinants of brand eqiuity : A financial in This paper presents a
technique for estimating a firm's brand equity that is based on the financial
market value of the firm. Brand equity is defined as the incremental cash flows
which accrue to branded products over unbranded products. The estimation
technique extracts the value of brand equity from the value of the firm's other
assets. This technique is useful for two purposes. First, the macro approach
assigns an objective value to a company's brands and relates this value to the
determinants of brand equity. Second, the micro approach isolates changes in
brand equity at the individual brand level by measuring the response of brand
equity to major marketing decisions. Empirically, we estimate brand equity
using the macro approach for a sample of industries and companies. Then we
use the micro approach to trace the brand equity of CocaCola and Pepsi over
three major events in the soft drink industry from 1982 to 1986.
Aurgon 2002
compiled by Burns Sports & Celebrities. Golfer Tiger Woods made $70 million
last year from appearances and endorsements. He is the number 1 endorser in
terms of popularity with advertisers and income earned annually, says Burns
President Bob Williams. His past and present endorsements include American
Express, Accenture, Buick, EA Sports, Nike, Rolex, Tag Heuer, Target, and
Titleist. Basketball player Michael Jordan at his peak could pull in $50 million a
year in endorsements. Present and past endorsements of Jordan include, Ball
Park Franks, Gatorade, Hanes, McDonald's, MCI WorldCom, Nike and
Rayovac. Tennis trophies have eluded the 22-year-old tennis player Anna
Kournikova, but endorsement deals have not. Her past and present
endorsements include Adidas, Berlei's Multiway sports bra and Xbox.
Pepsis approach is radically different from that of Coke; Pepsi has gone in for
concentration segmentation. Pepsi has targeted the youth segment instead of
trying to be something to all segments.Pepsi has since beginning strove to
achieve its international position as `a drink for the new generation in India.
Helped by HTAs forceful visuals and creative, Pepsi has been successful in
positioning itself for the younger generation.
Selling Process
Pepsi has a very well managed selling system. It takes as lot of care to
ensure that the products (Pepsi bottles) are available to the consumers. Pepsi
soft drinks are produced in our plant in different SKUs (Stock keeping units)
and distributed to our distributor and they further supply to the retailer.
Sahibabad (GZB) has been divided around 14 routes which are called direct
routes. For every route there is a Routs Agent. Route Agent moves with the
company owned truck and ensure that maximum shops are covered each day, so
that regular supply of Pepsi soft drinks is made. Routs agents take the order
from the shopkeepers and then with the help of loaders they give the required
number of crates to the retailer or shopkeeper & then move to next.Our plants
also have some agency in each rout. They supply in the areas where Pepsis
trucks are not able to reach. These areas are called indirect-routes.
Pepsis Brand positioning has finally always been as a refreshing cola drink for
the youth, ubiquitous on just about every social occasion. The positioning has
remained same since its inception in 1898. "The brand positioning was
prompted primarily by the market segments largely untapped by coca cola
(young generation) and its sweet sugary taste suited for its young consumers",
Keller said. Thus it was able to create a Point of difference from Coca cola.
Conclusion
After analyzing the fact we came to the conclusion that PEPSI is growing
day by day. This conclusion is based on overall information collected from
various distributors, retailers, markets and consumers. They are having an edge
over other soft drink producer in the market. They are doing very good in the
current scenario, but they need some object oriented and bit dynamism in the
strategy in the outskirt.
The company just needs to reform its rules, create more global awareness,
change its policies in favour of more opportunities & encourage its major
players to invest in the companies.
However, the company, if concentrates on the following factors will be able
to face tough challenges:
Technology
Quality
Brand competition
Price competition
Good balance between production and sales
Different preferences for products by different age groups
R & D capacity
Distribution Network
Pre-Sales services
After-sales services
Thus the company has an upcoming bright future in the future years.
Bibliography
Sites Visited
www.google.com
www.pepsico.com
www.domain-b.com
www.yhaoo.com
Books Referred
Marketing Management by Kotler, Killer, Koushik and Jha
Marketing Management by Piter Dacken
Marketing Strategy Magazine
Marketing management Magazine
C. R. Khothari