I Year B.A./B.B.A., LL.

B – Semester – II (2021-22)

1st -Internal Assessment

SUBJECT- Marketing Management

TOPIC- Video-Based Case Study
Submission Date- 31-05-2022

NAME: Sri Mrudu Keerthi Gorthy

DIVISION: B
PRN: 21010126151
COURSE: BBA LL.B. (H)
BATCH: 2021-2026
 ADS COMPARISON AND ANALYSIS
Both the Coca-Cola and Pepsi ads have chosen to target different customer
segments in terms of income levels and interests. While the Coca-Cola ad
focused on rural customers belonging to a lower income level, Pepsi focused
on urban customers who want to differentiate themselves. Since Coca-Cola
already had Sachin Tendulkar as an ambassador in an ad depicting Cricket, it
did not make sense for Pepsi to go after the same and find someone more
influential than Tendulkar. Pepsi instead shifted to a game that is rapidly
gaining popularity in India especially among the younger urban population to
position itself as an option that is for people who don’t follow the popular
path. From an attention-grabbing perspective, Pepsi did a good job by having a
funny story line and integrating the ambassador – Ranbir Kapoor, into it
seamlessly. It can also be observed that given Coca-Cola’s position as a market
leader, they did not spend much of the screen time highlighting the brand or
the product. Instead, they tried to relate themselves with the positive
emotions associated with cricket. On the other hand, Pepsi clearly showed the
vending machine and the boy drinking Pepsi to ensure viewers remember what
the ad was for and how drinking Pepsi makes you feel reenergized. Pepsi also
clearly differentiated the attitude it wants to convey by showing a confident
young teenager who stands up to society’s expectations to do what he loves.
While these two brands are close competitors, the more differentiated their
approaches are, the better it is for their long-term growth and these ads seem
to show that the brands feel the same.

COMPANY SPECIFIC

COMPETITOR 1 COMPETITOR 2
Name Coca Cola PepsiCo.
# Of 13,00,500 90,00,000
employees
Founded 1892, Atlanta, Georgia, USA 1893 as Brad’s drink,
rebranded as Pepsi in 1961
Funding
Investors 1) Berkshire Hathaway, Inc.
2) The Vanguard Group, Inc.
3) BlackRock Fund Advisors
4) SSgA Funds Management,
Inc.
5) Wellington Management
Co. LLP
Acquisitions 1) Costa
2) Vitamin water
3) Topo chico
4) Glacau smartwater
5) MOJO beverages
# Of 2 billion
customers
Strength 1. Highly recognised brand
2. Has a very strong reputation
3. Has diversified product
portfolio
4. Strong global reach with
presence in over 200
countries.
5. Efficient and effective
supply chain networks.
Weakness 6) Aggressive competition with
Pepsi
7) Low product diversification
8) Cases have been registered
against the product leading
to damage in brand name.
9) Criticized for products that
are perceived as unhealthy,
especially in areas of the
world where obesity rates
have risen quickly
1) The Vanguard Group,
Inc.
2) BlackRock Fund Advisors
3) SSgA Funds
Management, Inc.
4) Geode Capital
Management LLC
5) Northern Trust
Investments, Inc.
1) Pepsi bottling company
2) Quaker oats
3) Rockstar energy drinks
4) Soda stream
5) Pioneer foods
1.8 million
1. Strong brand image
2. Strong brand portfolio
3. High customer loyalty
4. Extensive distribution
network
5. Investment in marketing
and advertising 6
6. High company valuation
1. Pepsi's rival brand puts a lot
of pressure like Coca Cola.
2. PepsiCo faces problems in
the health community.
3. Controversial
Advertisements
4. Racially-Insensitive Products
 CUSTOMER SPECIFIC

COMPETITOR 1 COMPETITOR 2

Name Coca Cola PepsiCo.

Product Aerated drink Aerated drink

Primary Buyer Younger customer Teenage customers

(age group of 10 to 30) (age group 13 to 25)

Secondary Middle aged Middle aged customers

Buyer
(age group 25 to 45) (age group 25 to 40)

Target Students and young working Teenage and young adults,

Customer professionals, sports youth, sports enthusiasts.
enthusiasts

Message Coca-Cola has remained By being the best possible

consistent when partner, driving game-
communicating one strong changing innovation, and
and effective message: delivering a level of growth
pleasure. Enduring, simple unmatched in our industry.
slogans such as “Enjoy” and
“Happiness” never go out of
style and translate easily
across the globe.
 Segmentation, Targeting & Positioning Strategies

PARAMETERS STP (COCA-COLA)

Segmentation Geographic- Region, Density

Demographic- Age, Income, Lifecycle stage, Occupation

Using age and emotions to classify

When it comes to age-based segmentation, Coca Cola offers a diet
brand for individuals over 40, but the original coca cola brand is still
aimed at persons between 10 and 35, who are predominantly
adolescents and young adults. This is evident from the company's
previous advertisements, particularly the one titled "Brotherly
Love." In this advertisement, two siblings continue to argue, but
when the elder brother sees the younger brother being bullied, he
intervenes and they become friends while sipping Coca-Cola. In this
advertisement, Coca-Cola targets not only a certain demographic of
young people, but also their emotions.

Behavioural- Degree of loyalty, Benefits sought, User

status, Personality
Coca-Cola's behavioral segmentation is also well-known, and
most people agree that it has been a key part of the
company's success.
For instance, a lot of customers have become more health-
conscious about what they eat and drink recently. Kanesan,
Ismail, and Krishnan say that Coca-Cola, which has been
criticised for having a lot of sugar, has successfully divided its
market based on how people act. For example, people with
diabetes or who are trying to cut back on sugar can buy Coca-
Cola diet.

Psychographic- Social Class, Lifestyle

Targeting Domestic, International& Urban, Rural

Age (10-40), Income (Average-High Income group),

Lifecycle stage(Bachelor, singles not living at home,
newlywed couples) Occupation (students, professionals)

Loyality (Hardcore and softcore loyals) Easy going, Free

spirited.

Coca- Cola's targeting approach is larger, because of its

global market presence.
coca-targeting Cola's approach is larger, not only because of
its global market presence, but also because of the many
goods that they provide. There is also the necessity to serve
a wide range of clients, from the ordinary to the health-
conscious. Coca-core Cola's market is made up of persons
aged 10 to 25, with a secondary market made up of those
aged 25 to 40.

In terms of taste, the corporation targets the market that

like a strong flavour in their usual cola drinks. Meanwhile,
diet cola drinks and their variations cater to health-conscious
clients. Coca-Cola has also broadened its product line to
include non-cola beverages in order to appeal to individuals
who do not enjoy drinking its traditional cola drinks. Sprite, a
Coca-Cola beverage, is primarily meant to attract teenagers
and college students, whilst others target the young working
population

Catering to Diabetic populace

There's also the necessity to cater to a wide range of

customers, from the average to the health-conscious. In
terms of taste, the company targets a consumer that wants
a robust flavour in their regular cola drinks.

For robust population

Meanwhile, clients who are health-conscious are targeted by

diet cola drinks and their variants. Coca-Cola has also
broadened its product line to include non-cola beverages in
order to appeal to those who aren't fans of its traditional cola
 drinks. Sprite, a Coca-Cola beverage, is aimed squarely at
teenagers and college students, while others are aimed
squarely at the young working class.

Positioning Thirst-quenching and refreshing products

Coca-Cola markets its beverages as thirst-quenching and

refreshing. The goods they sell have been shown to make
their target market happy. Coca-Cola drinks and other items
are also connected with having a fun time with family and
friends while going about one's daily life. Furthermore, the
firm markets its items reliably and of high quality.

A must have party beverage

Number 1 Black soft drink leader

Coca-Cola is one of the first brands that comes to mind when

people think of high-quality beverages. The firm offers a
wide variety of drinks, each of which provides a pleasant
experience for customers. In contrast to other beverage
companies, Coca-Cola positions itself as a product that
brings enjoyment and positivity into the lives of its
customers. Finally, the company's main priority is to meet
the demands and preferences of its global clients.
PARAMETERS STP (PEPSI)

Segmentation Geographic- Region, Density

Demographic- Age, Income, Lifecycle stage,

Occupation
PepsiCo is known to categorise its market depending
on age, with the company's main sector being
individuals aged 15 to 45. These are people who are
still robust and do not mind drinking carbonated
beverages; they will always buy the original PepsiCo
product.
Within this bigger group, the corporation also targets
income segments, and in this case, the company
reaches out to average, above-average, and high
incomes. It should be mentioned that Pepsi has over
22 brands that target different demographics such as
age, gender, financial level, and so on.

Behavioural- Degree of loyalty, Benefits sought, User

status, Personality
PepsiCo has segmented its market through behavioral
segmentation as well. The audience being addressed
here comprises individuals looking for advantages like
as enjoyment and flavour, as well as those want to
rejuvenate or spend time. Personality also includes
users who are easygoing, ambitious, and driven in
their pursuits.

Psychographic- Social Class, Lifestyle

PepsiCo defines psychopathic segmentation as "those

who belong to a certain class." The commodities of the
corporation appeal to people from a variety of
socioeconomic backgrounds, ranging from the working
class to the middle class to the upper class. This is due
to the fact that the things are available in a number of
sizes and prices range from cheap to high, making the
product accessible to people from all social
backgrounds and income levels.
PARAMETERS STP (PEPSI)

Targeting Domestic, International& Urban, Rural

Age (10-40), Income (Average-High Income group),

Lifecycle stage(Bachelor, singles not living at home,
newlywed couples) Occupation (students,
professionals)
Pepsi has traditionally targeted a young demographic,
particularly since the 1980s. Many of their
advertisements were directed at adolescents and even
younger groups by including fun, sports, and music.
However, Pepsi does not simply appeal to teenagers.

Pepsi income targets

It is also within this larger segment that the company
targets segments based on their income and in this
case the company reaches out to average, above
average and high earners. It must be noted that Pepsi
has over 22 brands that reach diverse consumers
based on age, gender, income levels, and such like
demographics.

Pop Culture customers

According to Michman, the association with youth as

well as vitality favorable helped position the image of
Pepsi so high. There is the psychographic
segmentation by Pepsi where the company targets
those consumers of pop culture.

PARAMETERS STP (PEPSI)

Positioning Refreshing and thirst quenching

PepsiCo intends to continue to develop positions that
will provide its products a competitive edge in its
target markets. Pepsi is positioned using the approach
of direct comparison positioning, and its products
were positioned to benefit their target market.

Sponsered in Educational institutes and party

clubs
Pepsi also targets schools, university, restaurants
hotels and stores as their main target customers are in
between the age of 13 to 45.

Societally enforced

First and foremost, Pepsi in America seeks to market

its product for the benefit of society as a whole and for
the sake of refreshment, as seen by advertising
slogans such as-

"whether or not it is Pepsi"-

a "light refreshment"

"Be sociable; have a Pepsi."

They used this placement approach until 1960, when

they realised it was impossible to catch the full
population. So, after 1960, Pepsi began targeted
marketing and adopted a new approach to advertise
and attract new customers by launching enormous
marketing campaigns over time and building brand
personalities associated with adventure. Pepsi's goal is
to target a certain type of customers by engaging with
young people who are energetic, fun-loving, and
daring.
Q3
COCA-COLA POSTER
C

This Coca Cola poster aims to cater to the cricket enthusiasts. It is

focused on the simple pleasures that the game of cricket provides.
So the creative execution is simple. The campaign taps into the
insight that playing or watching cricket makes everyone happy and
Coca-Cola is celebrating this happiness. It is quite common to have
thirst-quenching refreshment after a challenging game, Coca Cola
focuses on that feeling along with the huge cricket fan populace who
would wish to watch the game while sipping on to Coca Cola.
PEPSI POSTER

This poster caters to the FIFA 2022 Football world cup fans. It is
consistent with Pepsi previous efforts to bring joy to every
generation by connecting fans with football. Football is the most
popular sport that today occupies the hearts and minds of many
people. Pepsi is not an entirely sports brand, but it has created a
niche for itself in the industry. Its commercials are more influential
among the drinks and beverages categories. Pepsi has always been
on the lookout for other platforms to connect with young people.
Football is one such platform.

THE END