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PRICE In the world

Pepsi is known for being a supplier of


promotional discounts and bulk purchases.

So a 2 liter Pepsi bottle will be relatively cheaper per 100ml


than a 250ml pack.
PepsiCo’s prices are considerably varied
because the company has a wide product
mix, which means that it has a large
number of product lines and brands.
PepsiCo’s main pricing strategies are as
follows:
-Market-oriented pricing strategy
-Hybrid Everyday Value pricing strategy

The company’s objective in using this


strategy is to ensure that its prices are
competitive, based on other firms’ prices
and prevailing market conditions.
On the other hand, Hybrid Everyday Value is PepsiCo’s pricing strategy for some of its products,
especially soft drinks. The company’s objective in using this pricing strategy is to close the gap
between regular/everyday prices and discounted holiday prices.
In Vietnam
The first is when Pepsi first approaches the Vietnamese market

• With abundant resources and


brand strength, PepsiCola
products immediately
dominated the Vietnamese
market from South to North.
In the form of promotions to
lower product costs, in the
first month of its
implementation, Pepsi-Cola
quickly defeated small
domestic competitors as well
as pushed Tribeco down to
bankruptcy, forced to
transform its form business
into soy milk.
The second is when Coca enters Vietnam, Pepsi
has to adjust its prices to increase its price
competitiveness.

Pepsi Vietnam's discount pricing strategy

After gaining a foothold, Pepsi continued to


deploy other pricing strategies to boost sales,
increase revenue and profit. As well as
strengthening its position against competition
from many other brands.
Cash discount policy
Quantity discount
Product type differentiated pricing strategy

Pepsi carbonated soft drink 390ml bottle selling price 5,400 VND/bottle.
Low-calorie soft drink Pepsi Light without sugar, can of 330ml, price of 8,400 VND/can.
Pepsi Cola soft drink 1.5 liters: 14,600 VND/bottle.
Bottle of soft drink 24 cans/barrel: 140,000 VND/barrel.
Place in the world
• On February 26, 2010,
Pepsi Beverage Company
(PBC) was formed when
PepsiCo acquired both of
the largest distributors in
the world.
• Pepsi Beverage Company is
also made up of
PepsiAmericas Company
formerly the world's second
largest bottler of Pepsi-Cola
beverages and has 19
bottling plants in the United
States and presence in 16
other countries.
So the distribution channel is as follows
1) Company > Distributor > Small Retailer / Small Buyer > End Customer
2) Company > Bulk Buyer > End Customer
Some Pepsi soft drink distributors may themselves act as distributors of Kurkure,
Lays and other snack products because the distribution is through the same channel.
In Vietnam
PepsiCo also reaches out to Vietnamese consumers through such intermediaries. Despite being a
giant in the beverage industry with strong financial potential, PepsiCo does not directly bring its
products to consumers, but has built a wide distribution network.
Following the spectacular
turning point in defeating
domestic soft drink dealers
in Vietnam, PepsiCo
moved to establish a
distribution system
throughout Vietnam, in
order to help Pepsi-Cola
products have deep roots
and strong roots in the
market.
Besides agents and general agents, PepsiCo
also infiltrates most of the coffee shops, toad
shops (where a huge amount of Pepsi-Cola
products are promoted and consumed).

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