Pepsi Lipton Brisk - Harvard Business Review Case

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Pepsi Lipton Brisk - Harvard Business Review Case Class Presentation

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Pepsi Lipton Brisk - Harvard Business Review Case

  1. 1. CASE REVIEW ABDOU NIDHI FAHME NISHMAKHRISTON ZION PEPSI-LIPTON BRISK
  2. 2. HOW ABOUT A VIDEO?Source: http://www.youtube.com/watch?v=1DHo8fYFsd0&feature=relmfu
  3. 3. CASE OVERVIEW• Mary Bernard (VP at PepsiCo and GM for PLP) & Marisol Tamaro (Brand Building Director of Brisk)• Re-launch Brisk Iced Tea• Sales rising and 10% market share• Purchased ad space for Brisk at the Super Bowl• Carry momentum in the following months• TV advertising or Viral advertising through Social Media• No dominant company had top market share• $6 million yearly budget for advertising Brisk
  4. 4. SWOT ANALYSIS STRENGTH WEAKNESS• Global presence • Priced higher than competitor• Resource availability • Lipton – Cannibalization• Distribution channels • Weak social media presence• Reputed brand image OPPORTUNITY THREATS• Tea industry growing globally • Competition• Consumer preference for RTD • Rising health concerns• Health awareness on the rise • Alternatives to RTD • Economic restrictions
  5. 5. 5C’s COMPANY CUSTOMER• Pepsi – Lipton joint partnership • Brisk brand natural personality is (PLP) male• Market and distribute ready to • Target market is predominantly drink tea in North America male• PepsiCo: health conscious • Millennial and Hispanics positioning• Lipton: bottling and distribution • Reconnect with 90’s platforms advertisements• Position product as edgy, cool • Pull in Arizona RTD tea drinkers and as an energy drink
  6. 6. 5C’s Continued … CONTEXT COLLABORATORS• Boom in the RTD Tea Industry (8% growth to $2.2B)• Market Segment with no dominant • Division of Pepsi Americas holding, brand a $10B strong conglomerate • Large worldwide and extensive• Increase in Health and Wellness bottling distribution awareness• Economic downturn has affected Lipton Ice Tea sales since 2008 • Consumer goods multinational, with over 100K employees worldwide
  7. 7. COMPETITORS 926,000 6,194 237,000 9,057 3,728 26,000 279 3,983 Source: Exhibit 5
  8. 8. COMPETITORS MARKET SHARE Arizona (-0.1%) 28%35% Lipton (-2.5%) Brisk (1.7%) Snapple Nestea (-0.1%) 15% 5% Others 8% 9% Source: Exhibit 1
  9. 9. SEGMENTATION• YOUNG ADULTS• ON THE GO LIFESTYLE• MALES• NEED FOR A EDGY, COOL & ENERGETIC BRAND ASSOCIATION
  10. 10. TARGET MARKET MILLENNIALS HISPANIC MALESTechnology savvy & intelligent 20% of the male demographic
  11. 11. POSITIONINGEDGY, COOL AND GIVES YOU ENERGY
  12. 12. POSITIONING 4P’s BRISK ICE TEA - Product BRISK ICE TEA - BrandPRODUCT: RTD Ice Tea PRODUCT : Awareness & LoyaltyPRICE: 99 cents per 500ml can PRICE: Free media space, word of mouthPLACE: Everywhere soft drinks are PLACE: Social Media, Special EventssoldPROMOTION: Contests, coupons, PROMOTION: Social Media, Specialetc. Events
  13. 13. OBJECTIVES RE-LAUNCH BRISK ADVERTISING SPENDINGGET ARIZONA DRINKERS TO MOVE TO BRISK STRONG SOCIAL MEDIA PRESENCE
  14. 14. OPTIONS TELEVISION - Advertising ORSOCIAL MEDIA – Viral Marketing
  15. 15. OPTION 1 - TVPROS CONS . Expensive . Mass Reach . Commercial . Target Specific avoidance . Difficult to alter . DVR
  16. 16. OPTION 2 – VIRAL MARKETING PROS CONS• COST EFFECTIVE • SPAM THREATS• HIGHLY CUSTOMIZABLE • LOW SUCCESS RATE• WORD OF MOUTH • EASILY IMITATED• BUZZ• LOW COST = HIGHER PROFITS
  17. 17. OPTION 2 – SOCIAL MEDIA • Fully integrated one-stop shop for creative ideas, production, promotion and distribution • In-house production studio • Creative teams experienced in 2D & 3D • Digital and social media experts • Created ten of the weekly #1 most viewed brand videos on YouTube • Garnered 3.5 million views on average per campaign CLIENTS
  18. 18. OPTION 2 - EXPLAINED “That’s Brisk, Baby”: Rebirth The Brisk Brothers Creative Characters “Now That’s Brisk”
  19. 19. RECOMMENDATIONS• EXHIBIT 8
  20. 20. RECOMMENDATIONS• EXHIBIT 10
  21. 21. RECOMMENDATIONS “That’s Brisk, Baby”: Rebirth

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